Thousands of Kiwis Relocate to Australia for Higher Wages

New Zealand is experiencing a significant outflow of citizens moving to Australia, driven primarily by the allure of higher wages. According to a recent cost-of-living analysis conducted by the Herald, approximately 30,000 Kiwis left New Zealand for Australia last year, marking the highest net loss in over a decade. This trend continues, with June 2025 data from Stats NZ indicating that tens of thousands of Kiwis are still making the move across the Tasman Sea.

While Australian cities typically offer a more affordable cost of living compared to New Zealand, the reality is more complex. The analysis reveals that house prices in Australia’s major cities are, on average, 12% more expensive to buy and 22% more to rent than in New Zealand’s major metropolitan areas. Despite these higher housing costs, the substantial wage differential—approximately 38% higher wages in Australia—continues to attract Kiwis in search of better financial opportunities.

Economic Landscape: A Mixed Picture

While the financial prospects in Australia appear bright, living conditions vary significantly across regions and cities. Families relocating from New Zealand often find that the higher wages can be offset by increased living expenses, particularly in housing. As Ben Leahy reports, some Kiwi families have expressed mixed feelings about their decision to move. They cite the challenges of navigating a new economy while grappling with the realities of higher housing costs.

The pressure on New Zealand’s workforce is evident, as many skilled workers seek opportunities abroad. Australia’s robust job market and competitive salaries continue to be a major draw, prompting many to prioritize immediate financial benefits over potential long-term stability in New Zealand.

Future Implications and Ongoing Trends

As New Zealand grapples with this demographic shift, the implications for both nations are profound. The loss of citizens not only impacts the workforce but also affects community dynamics and economic growth in New Zealand. Conversely, Australia benefits from an influx of skilled labor, which can bolster its economy further.

Looking ahead, it remains to be seen how this trend will evolve. Will New Zealand implement measures to retain its citizens, or will the allure of higher wages in Australia continue to draw thousands across the Ditch? The answers may shape the economic landscapes of both countries for years to come.