Rugby World Cup and election masking job market crisis - Labour

Labour says the Rugby World Cup and the upcoming election are masking the true crisis in the job market. Photo / Mark Mitchell

Short-term jobs created by the Rugby World Cup and the upcoming election are masking the true crisis in the job market, Labour says.

Social Development Minister Paula Bennett released figures today showing the number of people collecting the unemployment benefit is just under 56,000, the lowest it has been since July 2009.

She said there had been an 18 per cent drop in the number of dole recipients since its peak in January last year when more than 68,000 people were receiving it.

Ms Bennett said there had also been a substantial fall in youth dole beneficiaries as well - down by more than 30 per cent over the same period.

But Labour's employment spokesperson Jacinda Ardern said that given the fact that the number of people claiming other benefits had gone up and the majority of jobs being filled were for the duration of the RWC, the news was - it's hardly cause for celebration.

"When National took office there were 8786 young people on the unemployment benefit. There's now double that number," Ms Arden said in a statement.

"Plus what the Government - the same Government that has axed close to 250 jobs at DOC and the IRD this week - also fails to comprehend is the thousands of people in part-time or temporary work who want full-time work. They're not classified as unemployed but they are definitely competing with the unemployed for jobs."