The main employment precincts in Central Auckland have seen a decline in industrial employment (manufacturing, wholesale trade and transport, postal & warehousing) over the last 20 years. There were around 7% fewer people employed in these sectors in 2022 than there were in 2002 (-1,250 jobs) compared to a regional increase of 13% in these sectors.
This has been more than offset by increases in office-based sectors (+48,600 jobs) and retail and hospitality employment (+8,900 jobs).
The City Centre was the main driver of employment growth in central Auckland (+48,000 jobs) with professional, scientific & technical services as well as financial and insurance services contributing most growth.
Grafton-Parnell and Ponsonby, also saw strong professional services growth (architects, engineers, management consultancy, legal & accountancy and computer systems design) while Grafton-Parnell also saw healthcare and education employment growth due to Auckland City Hospital and Auckland University’s presence in the area.
Newmarket contributed strongly to employment growth in administrative & support services and retail while electricity, gas, water & waste services also grew with the (re)location of key providers (Watercare, Vector and Mercury) in the area.
Newton is dominated by professional and administrative services employment while Kingsland-St Lukes is dominated by retail due to the large mall at St Lukes and the surrounding large format retail. Newton and Kingsland-St Lukes have both seen a fall in information media and telecommunications employment.
The main employment precincts in Central-South Auckland have seen a modest increase in industrial employment (manufacturing, wholesale trade and transport, postal & warehousing) over the last 20 years. There were around 17% more people employed in these sectors in 2022 than there were in 2002 (+8,300 jobs) compared to a regional increase of 13% in these sectors.
This has been outstripped by much more rapid increases in office-based sectors (+12,600 jobs) and retail and hospitality employment (+7,400 jobs).
The central-south area of Auckland from Onehunga across to Glen Innes-Panmure is Auckland’s largest and most established industrial area taking in the industrial precincts of Penrose, Otahuhu, Mount Wellington and East Tāmaki
Manufacturing decline is common to these areas. Glen Innes-Panmure, Mount Wellington Industrial, Onehunga-Te Papapa Industrial, Otahuhu and Penrose all saw a decline in manufacturing employment. Only East Tāmaki with the addition of Highbrook and the newer industrial developments at Botany Junction saw manufacturing employment increase over the last 20 years.
Wholesale trade has also largely declined in these areas with only East Tāmaki registering significant employment growth in the sector.
Administrative & support services, public administration & safety and transport postal & warehousing are the main sectors that have replaced the employment lost in manufacturing in the area.
The development of the mall at Sylvia Park has been the biggest driver of employment change in that part of the central south area bringing retail employment, although financial & insurance services have also seen growth in the area.
The main employment precincts in South Auckland have seen an increase in industrial employment (manufacturing, wholesale trade and transport, postal & warehousing) over the last 20 years. There were around 42% more people employed in these sectors in 2022 than there were in 2002 (+10,500 jobs) compared to a regional increase of 13% in these sectors.
This has been outstripped by much more rapid increases in office-based sectors (+8,200 jobs, +95% more jobs) while retail and hospitality employment growth has been modest (+2,850, +33% more jobs).
The south of Auckland has the employment centres of Manukau and Wiri as well the industrial area at Auckland Airport. A corridor along Great South Road from Manurewa to Papakura is also an area with an employment focus.
Manufacturing growth has been seen across the area although the large and more diverse economy of Manukau Central has seen a decline in manufacturing employment.
Wholesale trade has also largely grown in these areas with only East Tāmaki outside of the southern industrial areas registering significant employment growth in the sector.
Transport, postal & warehousing has also grown, across the main employment precincts in the south of the region. While Auckland Airport saw a significant fall as a result of COVID-19 and the border restrictions, this followed a long period of growth and the start of a recovery was evident in the most recent data.
Public administration & safety has also grown with central and local government having a presence in Manukau, new correctional facilities at Wiri and the employment at Auckland Airport associated with aviation, customs activity and border control.
The main employment precincts in North Auckland have seen a modest increase in industrial employment (manufacturing, wholesale trade and transport, postal & warehousing) over the last 20 years. There were around 5% more people employed in these sectors in 2022 than there were in 2002 (+720 jobs) compared to a regional increase of 13% in these sectors.
This has been outpaced by increases in office-based sectors (+7,750 jobs, +67%) and retail and hospitality employment (+7,000 jobs, +96%).
Professional, scientific & technical services have grown strongly at Milford-Takapuna and North Harbour, while Albany has seen strong growth in financial & insurance services with some of the country's main banks locating office facilities in the area in recent years.
While manufacturing has grown in both Albany and North Harbour much of this was offset by manufacturing decline at Wairau Valley.
Retail growth, particularly at Milford-Takapuna and Albany has been strong and there has also been growth at Wairau Valley, mainly in large format retail.
The main employment precincts in West Auckland have seen a decline in industrial employment (manufacturing, wholesale trade and transport, postal & warehousing) over the last 20 years. There were around 9% fewer people employed in these sectors in 2022 than there were in 2002 (-1,250 jobs) compared to a regional increase of 13% in these sectors.
This has been barely than offset by increases in office-based sectors (+1,500 jobs) and retail and hospitality employment (+1,700 jobs).
Manufacturing decline is common to West Auckland’s main employment areas.
While there has been growth in retail and office type employment it has been at a lower rate than elsewhere in the region, Henderson seeing a decline in retail employment, something that is uncommon in the region as a whole.
In Avondale-New Lynn and Lincoln Road employment growth in retail and accommodation & food has replaced employment lost in manufacturing.
In Rosebank Peninsula, the west’s main industrial, precinct administrative & support services have grown as the main sector replacing employment losses in manufacturing and transport, postal & warehousing.
These areas include established satellites of Pukekohe and Warkworth with potential further population growth as well as smaller settlements currently undergoing rapid housing facilitated by the 30-year Future Development Strategy for Auckland likely to continue for several decades.
Population growth is a key driver of employment growth in these areas with retail. Accommodation & food, education and health services growing. Construction sector employment has also grown rapidly, although that is the case across most of the Auckland region.
The main employment precincts in peripheral and emerging employment areas have seen an increase in industrial employment (manufacturing, wholesale trade and transport, postal & warehousing) over the last 20 years. There were around 38% more people employed in these sectors in 2022 than there were in 2002 (+1,500 jobs, +42%) compared to a regional increase of 13% in these sectors.
This has been outstripped by rapid increases in office-based sectors (+2,200 jobs, +71%) and retail and hospitality employment (+4,600jobs, +124%).
Silverdale and Westgate have seen rapid employment growth, particularly in retail employment, with the mall development at Westgate a significant source of employment growth. Growth in retail jobs ion Kumeū-Huapai has also been rapid albeit from a much smaller base.
The older more established satellites of Pukekohe and Warkworth have seen more limited retail growth.
Inner and outer industrial
Over the last 20 years, Auckland’s main industrial precincts have seen growth in the areas further out from central Auckland such as at Auckland Airport, Botany Junction, Wiri and North Harbour. Most of the manufacturing employment growth, as well as growth in associated wholesale trade, transport, postal and warehousing, has occurred in these areas over the last decade.
There has been far less employment growth in the region’s more central industrial areas such as Wairau Valley, Rosebank Peninsula, Onehunga-Te Papapa, Otahuhu and Glen Innes-Panmure. These areas are characterised by a decline in manufacturing sector activity and growth in other sectors such as administrative services (labour hire and recruitment) and retail (predominantly large format).
Public administration and safety also contributed to employment growth in many of the older industrial precincts, highlighting the importance of public services provision to employment.
Public infrastructure investment has also contributed to employment growth with the construction of new correctional facilities and the inland port at Wiri.
Service sector focused centres - Retail and hospitality (Town Centres)
The retail and hospitality sector has seen employment growth in all centres except Henderson and Otahuhu over the last 20 years.
The largest retail and hospitality employment areas are the main centres of city centre, Milford-Takapuna, Newmarket, Manukau, Albany and Ponsonby.
Sylvia Park, Milford-Takapuna, Albany, Silverdale, Westgate, Manukau and Newmarket have seen the most growth. The key factors for this are mall developments, upgrades and expansions, along with population growth in the north of the region.
The city centre has seen relatively little growth in retail and hospitality employment despite the launch of Commercial Bay. There was also slow growth in the centres of Manukau, Ponsonby and Kingsland-St Lukes.
The industrial areas of Penrose, Rosebank Peninsula, North Harbour, East Tāmaki and Wiri all saw strong growth in retail and hospitality employment.
Henderson and the Auckland Airport precinct were the only areas to see a decline in employment in this sector. While the airport precinct’s employment numbers were greatly impacted by COVID-19, its new planned retail development will see a return to employment growth.
Office based employment areas
Office-based employment sectors are assumed to span: information, media and telecommunications, financial and insurance services, rental, hiring and real estate services, professional, scientific and technical services, administrative and support services, public administration and safety.
The city centre is by far the biggest employment precinct for office-based employment in the Auckland region and saw the most growth in employment numbers over the last 20 years.
Other main office centres are Milford-Takapuna, Newton, Newmarket, Grafton-Parnell, Ponsonby and Manukau. Of these, Newmarket and Newton grew more rapidly than the region as a whole with the others growing at a similar rate to the regional average.
Several areas zoned as industrial have a lot of employment in the office-based sectors including Penrose, North Harbour, East Tāmaki, Auckland Airport, Mount Wellington Industrial and Wiri.
Penrose, North Harbour and East Tāmaki have seen above average rates of growth in office-based employment sectors.
Areas that have small and locally oriented office markets, such as Henderson, Onehunga, Avondale-New Lynn, Lincoln Road and Otahuhu, have seen either little growth or even decline in employment in sectors associated with office-based employment.
Level of Growth
The highest rates of employment growth have been generated by new development, redevelopment and public sector investment.
Redevelopment and expansion of large sites under the control of a single owner has also generated employment growth with the development and expansion of the retail malls at Sylvia Park, Albany and Newmarket. In addition, the new development at Westgate is generating employment growth.
Auckland Airport, heavily developed by Auckland International Airport Limited and about to open its own retail mall offering, has seen very high levels of employment growth with a focus on transport and logistics, and manufacturing and wholesale trade.
Other newly developed areas and areas experiencing strong population growth due to new housing developments - such as Botany Junction and Silverdale - have seen strong employment growth.
Less recently, but relatively new compared to the region’s older areas, North Harbour and East Tāmaki, with the development of Highbrook, have seen strong employment growth.
Large employers such as Auckland University and Auckland Hospital have shaped the employment growth seen in Grafton-Parnell. Similar impacts can be seen in other areas where the region’s main hospitals are located (Lincoln Road and Milford-Takapuna).
More established areas such as Henderson, Avondale and New Lynn, Otahuhu, Wairau Valley, Glen Innes-Panmure and Onehunga-Te Papapa Industrial have seen employment growth well below the regional average.
About the Economic Place Profiles
Business demographics and census data available at the Statistical Area 2 (SA2) geography have been used to compile these profiles. These areas broadly map the areas identified during work to prepare the Auckland Plan 2050.
Commercial property market supplied by Colliers NZ has also been analysed where available. Trends in employment change over the last 20 years are presented.
Statistics New Zealand’s business demography data only includes employees of economically significant enterprises and generally reports slightly lower employment counts than some other sources sometimes cited. Regional employment numbers from Infometrics’ Regional Industry Employment Model (RIEM), for example, includes both employees and self-employed.