Immediate employment and income impacts of Covid-19 in New Zealand: evidence from a survey conducted during the Alert Level 4 lockdown

Abstract

The Covid-19 Level 4 lockdown represented an unprecedented and sudden shock to the New Zealand labour market. Using unique data collected during lockdown (n = 2002), this study examined the work circumstances of individuals and the economic shock in terms of income and job loss to both individuals and households. We found that the unemployment effectively doubled rising from 5.2% just prior to lockdown to 10.5% by week 3 of lockdown. Close to 44% of individuals lived in a household where members experienced job and/or income loss. While economic loss was widespread, some groups were harder hit, particularly those with lower incomes.