From tourism to traditional food production, the economic participation and livelihoods that sustain Cook Islands residents are highlighted in a new labour force report providing critical data to guide the nation’s decision-making.
The Cook Islands Statistics Office, with technical support from the Pacific Community (SPC), has released its 2023–24 Labour Force Survey report, offering essential data for policymakers, employers and researchers on jobs, wages, labour participation and the dynamics of work.
At a glance:
- Labour force participation: 71.1% overall (74.5% for men, 67.9% for women)
- Employment rate: 99.2% of the labour force (8,455 people employed)
- Unemployment rate: 0.8% overall; higher among youth aged 15–24 (5.3%)
- Composite labour underutilisation: 9.5%, mainly due to time-related underemployment
- Informal employment: 39.8% of total jobs, concentrated in rural areas
- Average monthly wage: NZD 1,807
- Subsistence production: 47.6% of working-age population engaged, especially in rural communities.
Conducted over a full year, this is only the second such Labour Force Survey undertaken in the country. It collects data not only on employment and unemployment, but also covers education, hours worked, underemployment, and informal sector participation.
An economy anchored in services
The Cook Islands labour market is heavily dominated by the services sector, which provides nearly nine in 10 jobs.
Market services, such as retail, tourism and hospitality, employ more than half (55.3%) of all workers, with women more represented in hospitality and retail, and men more in transport and construction.
Non-market services, including public administration, health and education, account for about one-third (32.4%) of the workforce.
Urban–rural differences
Urban areas (Rarotonga) have higher participation rates (74.6%) compared to rural areas (Te Pa Enua) (61.4%), accounting for three-quarters of all employed people. Rural areas, however, have higher shares of subsistence work and self-employed (own-account) employment, reflecting more traditional livelihoods.
Low unemployment, but underemployment persists
Although unemployment is very low, an estimated 428 people experience time-related underemployment—meaning they are willing and able to work more hours than they currently do. This group is a major contributor to the labour underutilisation rate, which is nearly 12 times higher than the unemployment rate alone.
Informality and subsistence work
Informal employment is significant, with about two in five jobs falling outside formal arrangements. Own-use production, particularly food production, remains important, especially in rural areas where 57.3% of the working-age population engage in subsistence activities compared to 26.0% in urban areas.
Gender gaps and education effects
Overall, men have higher labour force participation than women, but this gap reverses among those with higher education; women with tertiary education have higher participation (90.2%) than their male counterparts (77.8%).
Data for decision-making
The 2023–24 Labour Force Survey provides critical data to track progress on Sustainable Development Goal 8 (decent work and economic growth), support workforce planning, and guide education and training policies. It also provides the baseline for monitoring the country’s economic resilience and labour market inclusion in the years ahead.
“Reliable labour market data play a vital role in helping governments, businesses and researchers monitor employment trends, assess workforce needs and develop targeted strategies,” said Ms Taggy Tangimetua, Chief Statistician of the Cook Islands Statistics Office.
- Read the Cook Islands 2023–24 Labour Force Survey report
- Read the Cook Islands 2023–24 Labour Force Survey factsheet
For more information on this story, contact Mr Ben Campion, Communications Adviser, Statistics for Development Division, Pacific Community (SPC).
Top photo by Asian Development Bank.