Business Environment Profiles - New Zealand
Published: 19 February 2026
Average weekly hours worked
34 Hours
0.5 %
This report analyses the average number of weekly hours worked in New Zealand. The report includes all employed individuals and uses the actual number of hours worked during the survey period, rather than the usual number of hours worked. The data is an average of all weeks in a given financial year. The data for this report is sourced from Statistics New Zealand (Tatauranga Aotearoa) and is measured in hours per employed person per week.
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IBISWorld anticipates the average weekly hours worked to inch downwards by 0.3% in 2025-26 to 33.9 hours per employed person. According to data from Stats NZ, employees worked an average of 33.84 hours per week in the June 2025 quarter, a decrease of 1.1% from the previous quarter. While average weekly paid hours recovered over the following two quarters, they weren't sufficient to fully offset the earlier decline in overall working hours across 2025-26. Seasonal variations like public holidays and shifts in employment patterns have contributed to this decline. Notably, the share of FTE has dipped from 76.0% in the March 2025 quarter to around 75.1% in the December 2025 quarter, highlighting changes in New Zealand's employment mix that weighed on overall average working hours.
The dip in average weekly hours over recent years also underlies challenges within New Zealand's economy and the labour market has also weighed on average weekly hours over the two years through 2025-26. Companies have navigated economic uncertainty by implementing reduced working hours or shifting towards more flexible employment models to manage costs. While employment figures saw a modest gain of 6,200, 7,600 and 9,700 jobs in the June, September and December 2025 quarters, the rise in part-time employees has outpaced FTEs, as reflected in the rising part-time employees' employment share. Also, Stats NZ reported an increase in underemployment, suggesting that many individuals are available and willing to work more hours than they currently do.
A significant contributor to the increase in average weekly hours worked over the past five years is the artificially low base in 2020-21, when restrictions and border closures suppressed activity in non-essential industries, which temporarily pushed down hours per worker. As these constraints eased and affected sectors normalised, average hours per worker rose in the past five years. Overall, IBISWorld forecasts the average weekly hours worked to rise minimally at a compound annual rate of 0.5% over the five years through 2025-26.
IBISWorld forecasts the average weekly hours worked to rise by 0.3% in 2026-27 to 34.0 hours per ...
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