New Zealand is going through an exodus the likes of which has never before been seen. In the last two years, tens of thousands of its citizens have decided it’s time to leave their country. That trend is showing no signs of letting up, with Kiwis leaving for foreign shores—mostly to Australia—in record numbers. A drive for migration is their concerns about the country’s economic prospects. They are just looking for better job opportunities and a higher quality of life.
Among them is Harriet Baker, a 33-year-old mum whose family is moving to Western Australia. Her husband, Cameron Baker, will soon be able to get a job as a heavy diesel mechanic working in the mines. The Bakers’ decision reflects what an increasing number of Kiwi families are going through. They are the ones out there looking for better financial opportunity and a better life.
Figures released by Statistics NZ indicate at least 69,100 New Zealanders departed the country during an annual period ending February 2025, fearing a return home. This was 3% higher than the prior year. Alarmingly, over half—56%—of these emigrants are setting their sights on Australia. There, the average pay rate is 26% higher than New Zealand’s. This economic imbalance has been a major impetus for so many families considering a move.
Economic Challenges Fuel Migration
Soaring cost of living and a stagnant economy has sent scores of Kiwis packing. These small towns—in many ways the once-vibrant heart of the manufacturing economy—are struggling through double-digit percentage population declines and economic collapse. In Ohakune, Winstone Pulp International shut down two mills. While we haven’t spoken here about it, this leader’s action resulted in the immediate loss of about 220 jobs. The local Māori tribe, Ngāti Rangi, is actively seeking strategies to encourage residents to remain in the area as they confront these challenges.
Demographers have sounded alarm bells over changes to the make-up of New Zealand’s population. As Paul Spoonley warns about regions stuck in the loss of their population. He notes, “Parts of New Zealand are beginning to empty out; they will suffer stagnation or are in decline. The question for me is – will the number of New Zealanders leaving the country begin to come back?”
Additionally, job cuts in the public service sector worsen the effect. Not to mention the thousands of workers we have released since January 2023, many of whom still lack a clear path toward permanent employment. As options shrink, over 90% of residents begin looking internationally—seeing this as their most viable option to secure their future away from home.
Families Seek Better Opportunities Abroad
Hope for better quality of life and economic opportunities pulls many families to Australia. Daniel Reed, who recently made the move with his family, emphasized how much better their life has become: “We’re putting $1000 away a fortnight and we enjoy our life. We’re not scraping by or wondering what the grocery bill is.” His experience is a harbinger of a larger trend among Kiwis who are more willing than ever to pack up and move more easily for greater opportunities.
Reed acknowledges that they still hold onto their Kiwi identity: “They’ll always be Kiwis, but they know the Australian national anthem. I don’t know if they remember the New Zealand one.” This feeling is indicative of a broader creative tide as Kiwis embrace the fight against foreign influences while wrestling with the concept of their origins.
Shamubeel Eaqub raises concerns about this demographic shift as well: “This is a hollowing out of this demographic of mid-career workers, who in reality do the bulk of the work.” He cautions that if this trend continues, it will create significant disruptions in the labor market. As a result, experienced professionals are leaving New Zealand for greener pastures.
Government Response and Future Implications
In response to these changes the New Zealand government has clamped down on immigration. Consequently, there are fewer migrants leaving to come on work visas. In August Finance Minister Nicola Willis announced that the new coalition government would increase spending as a whole, including on health. Meanwhile, they’ll remove duplicative services to address economic priorities. She acknowledges the need for New Zealanders to see their nation as a place of opportunity: “I am very concerned if New Zealanders don’t believe that they have good prospects in New Zealand.”
As rural areas continue to lose residents and face economic decline, Tahu Kukutai warns of the implications for provincial and small-town Aotearoa: “This is not a good news story for provincial and small town Aotearoa and it’s happening gradually, town by town and region by region.”
The challenges New Zealand is currently grappling with go beyond the economic. Jude Sinai points out how new recruits in various fields are struggling with mortgage payments and job security: “We’ve had new recruits who bought homes at the higher end of the market. They didn’t see this coming. Now they’re trying to service a mortgage shearing or mowing lawns.”