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Central Otago District mayor Tim Cadogan has taken the chance to clear the air about the reported 67 percent rise in the unemployment rate of Central Otago.

Mayor Tim did not dispute the statistics from the Ministry of Social Development (MSD), but rather wanted the chance to try and paint a clearer picture.

“As we head into uncertain and difficult economic times, I believe it is crucially important that all of us in the Central Otago community are aware of the full picture across the district,” mayor Tim said.

“You may have noticed that Saturday’s ODT reported a 67 per cent rise in unemployment in Central Otago between March and April.  I make no criticism of the ODT because that figure is entirely correct and was what was released in documents at the time by MSD.

“But it does not tell the full story, which further figures provided to me by MSD do.”

Mayor Tim said Central Otago is coming from a “very low starting point in relation to unemployment, so any increase will look remarkably high as a consequence.” 

“However, the full picture is one that, while concerning, is not likely to get the same emotional response that the 67 percent number will,” Mayor Tim said. “Let me explain.”

“In January 2020, our district had a 1.4 per cent unemployment rate.  By April that had risen to 2.7 per cent.  That 2.7 per cent is an equally, and possibly more important number than the 67 per cent.

“Let’s put that 2.7 per cent figure in context.  The Southern Region of MSD has an overall 4.3 per cent rate, so we are doing very well compared to that.  But here’s something else to consider; that Southern Region has the lowest rate (at that 4.3 per cent) of any region in New Zealand.”

Mayor Tim said any increase in unemployment is bad, and his thoughts go to those people who have been directly affected by that. 

“I have had time on the benefit, and it is a really tough gig,” he said. “But depressions, both economic and mental, stem from a lack of confidence, which is why I believe it crucial that we all look at where we are actually sitting at the moment as a district and be grateful and quietly confident that we will get through this in better shape than many.

“That doesn’t mean there won’t be more increases in the unemployment level locally with the accompanying emotional and financial upheaval for those affected. 

“But the best thing all of us can do, must do, to help in these difficult times is to work toward an economic recovery that will lift us all out of the present situation together. 

“That involves shopping local, giving support (especially emotional support) to those who find themselves without work, and to remain determined that we will get through this together.”