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Recently we came across a post from someone in Ireland running an induction for new starters. What stood out was that several of the attendees had recently returned home after spending years overseas, in some cases more than a decade away.
It sparked an interesting discussion internally around what we are currently seeing across New Zealand's workforce and recruitment market.
Much of the public conversation around migration tends to focus on arrival and departure numbers. However, from a workforce and recruitment perspective, the challenge is becoming far more nuanced than simply labour supply.
New Zealand continues to experience positive migration overall, while also seeing significant numbers of experienced NZ citizens leave for opportunities offshore, particularly across construction, infrastructure, manufacturing and other skilled industries.
At the same time, many sectors continue to rely heavily on international recruitment to help address ongoing skills shortages.
International workers continue to make an important contribution to New Zealand businesses and industries. However, like many countries globally, New Zealand is also navigating the challenges that come with a highly competitive international labour market, including capability shortages, retention pressures and increasing competition for experienced workers.
The Conversation is Shifting
One of the biggest shifts we are seeing is that the workforce conversation is no longer simply about finding people.
Increasingly, it is about finding:
capability
experience
adaptability
productivity
long-term workforce fit
Over the past few years, many industries were focused on solving immediate labour shortages as quickly as possible following COVID disruptions and border closures.
What is now emerging across parts of the market is a more complex challenge around workforce capability and long-term sustainability.
For many businesses, particularly across construction, infrastructure and manufacturing, the conversation is shifting from:
"How do we find more people?"
to:
"How do we build stable, experienced and productive workforces for the future?"
This is particularly important as experienced workers continue to leave New Zealand for offshore opportunities, while many industries are simultaneously navigating:
growing project demands
increased compliance requirements
rising delivery expectations
ongoing pressure on productivity
In many cases, organisations are no longer simply competing for labour. They are competing for experience, capability and workforce stability.
Beyond Labour Supply
While workforce discussions often focus on labour numbers, many businesses are also recognising the value that experienced workers from different markets can bring to projects and teams.
Across construction, infrastructure and manufacturing, exposure to different project environments, systems, technologies and operating practices can contribute valuable capability alongside local knowledge and experience.
As projects become larger and more complex, workforce capability is increasingly becoming just as important as workforce availability.
Migration Trends Continue to Evolve
There are some early signs that migration patterns may be beginning to stabilise.
While net migration remains positive overall, fewer New Zealand citizens are leaving compared with recent peaks, and there has been a gradual increase in returning New Zealanders over the past 12 months.
Whether this reflects changing economic conditions, lifestyle reassessments or shifting opportunities overseas remains to be seen.
What it does reinforce, however, is how dynamic workforce trends have become, both in New Zealand and globally.
If the past decade has taught us anything, it is that labour markets, migration patterns and workforce planning can change quickly, often in ways very few could have predicted.
NZ Migration Numbers (Rolling Annual Totals)
Year Ended | Total Arrivals | Total Departures | Net Migration |
|---|---|---|---|
2020 | ~91,000 | ~55,000 | +37,000 |
2021 | ~55,000 | ~70,000 | -15,000 |
2022 | ~119,000 | ~95,000 | +25,000 |
2023 | ~245,000 | ~110,000 | +134,000 |
2024 | ~221,000 | ~139,000 | +83,000 |
2025 | ~139,000 | ~125,000 | +14,000 |
2026 | ~136,000 | ~111,000 | +24,000 |
The migration surge that followed border reopenings helped address immediate labour shortages across many sectors. However, as migration volumes normalise, the focus is increasingly shifting toward workforce quality, capability retention and long-term sustainability rather than simply workforce volume.
Despite positive net migration overall, New Zealand has continued to experience a net loss of NZ citizens in recent years, particularly experienced workers across skilled industries. This remains one of the more significant workforce challenges facing many sectors today.
Looking Ahead
At Tradestaff, we see these workforce trends play out every day through the projects, businesses and industries we support across New Zealand.
As workforce pressures continue to evolve, the focus is increasingly moving beyond simply filling vacancies and toward building sustainable, capable workforces that can support long-term project delivery and industry growth.
The workforce challenge facing New Zealand is evolving, and the organisations that adapt early through workforce planning, capability development and long-term thinking are likely to be best positioned for the future.
We would be interested to hear what others across construction, infrastructure, manufacturing and workforce planning are currently seeing in the market.
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