Bay jobless total down by 8.5pc

The number of Hawke's Bay people collecting the unemployment benefit has fallen, according to the latest data released by the Ministry of Social Development (MSD) for the December quarter.

The number aged 18-64 collecting the benefit in Hawke's Bay, including the whole of the Tararua District, decreased 8.5 per cent for the December quarter, compared with the same period last year.

The fall in Bay dole numbers marks a significant change from the alarming rise recorded since 2007 of over 300 per cent.

Hastings was still 789 per cent higher than December 2007 when 149 were collecting unemployment benefit. In December there were 1366, 41 fewer than December 2010.

The decrease offers a small glimmer of hope for struggling families, with a recent Statistics NZ review of 2011 showing a substantial hike in the price of most food items.

Murray Douglas, CEO of regional development agency Business Hawke's Bay, said increased farm incomes were not yet benefiting those in town.

"Lambs, wool and forestry have done well but it is taking a long time to come through - we are actually getting jobless growth in rural New Zealand."

He said he planned to talk to Prime Minister John Key about increasing employment prospects for rural New Zealand.