More people on the Jobseeker benefit, despite government target to bring numbers down

Ministry of Social Development figures show 218,500 people were on the Jobseeker benefit in June 2026. That is up nearly 2,500 from 216,000 in June 2025. The number has been rising steadily since 2023 and is above what the government wanted.
The June figure is also up about 2,500 from March 2026, when 216,000 people were receiving the benefit. MSD had forecast numbers would stay around 216,300 through 2026. A separate forecast from December 2025 projected numbers would fall to roughly 187,900 by June 2030.
The government set a target to reduce Jobseeker numbers by 50,000, but did not set a deadline for that goal. MSD had its own more specific target: documents released under the Official Information Act showed it aimed to get down to 200,000 recipients by the end of June 2026. That was missed by 18,500.
Social Development Minister Louise Upston put out a press release focused on how many people were moving off benefits and into work, rather than the total number on the benefit. She called the figures encouraging. In the year to June 2026, 86,544 people moved off a main benefit into a job, up 5,772 on the previous year, according to figures reported by Te Ao Māori News and Scoop. Upston pointed to the Traffic Light System, which tracks whether beneficiaries are doing things like looking for work and attending training, and to ChamberWorks, a partnership between Chambers of Commerce and MSD that connects businesses with people already screened and ready to work.
Labour's social development spokesperson Willow-Jean Prime said there were nearly 30,000 more people on Jobseeker support than when the government set its reduction target. Te Ao Māori News reported that Māori remain disproportionately affected by the Jobseeker numbers.
The figures come as new legislation is in the works. MSD published a cabinet paper on 23 June 2026 on a bill that would tighten the rules for 18 and 19 year olds trying to get the Jobseeker benefit or Emergency Benefit. An OIA response published by MSD on 15 December 2025 included a quarterly report on Jobseeker numbers for the period ending June 2025, along with all advice and correspondence about Jobseeker numbers since 1 January 2025.
As of mid-June 2026, MSD's newsroom webpage did not have any press release about the June 2026 quarterly benefit data. The stories listed were all about COVID-19 Wage Subsidy fraud cases: a Drury man sentenced to 10 months' home detention in the Auckland District Court for dishonestly claiming over $180,000 in wage subsidies (15 June 2026); a man sentenced to nine months' home detention for dishonestly obtaining nearly $59,000 (22 May 2026); and a woman and her parents sentenced for a scheme where she received over $140,000 and tried to get more than $500,000 (24 April 2026).
MSD still publishes its Benefit Fact Sheets as downloadable Excel tables, including a June 2026 edition, along with a monthly benefits update on its website.
The political fight over these numbers is simple to understand. Upston is highlighting the number of people moving into work, where there has been a real improvement. Prime is pointing to the total number of people on the benefit, which has gone up since the target was set and is well above the 200,000 MSD wanted. Both are telling the truth, but neither gives the full picture on its own.
The broader context is that more people are coming onto the benefit at the same time as more people are leaving it for work. That tension is the core of the story. The forecast that numbers will drop to 187,900 by 2030 depends on the job market improving in ways the current trend does not yet show.
The change most likely to affect things in the short term is the proposed tightening of eligibility for 18 and 19 year olds. Whether that actually reduces the overall number of people on benefits, or just pushes young applicants onto a different type of assistance called Emergency Benefit, is something MSD will need to address as the bill moves forward.


