Bay of Plenty has the lowest unemployment rate in the North Island, according to the latest figures released by Statistics New Zealand today.

The figures showed nationally unemployment rates increased to 5.7 per cent in the March 2016 quarter (from a revised 5.4 per cent), while the labour force grew 1.5 per cent.

Bay of Plenty's unemployment is the lowest in the North Island. Photo: You Tube.

160504-Unemployment-Drop-BOP-GT Bay of Plenty's unemployment is the lowest in the North Island. Photo: You Tube.

This was the largest increase in New Zealand's labour force since December 2004.

Bay of Plenty had a significant drop in its unadjusted unemployment rate over the year – down from 7.8 percent to 5.1 per cent, making it the region with the lowest unemployment rate in the North Island.

National MP Simon Bridges says it's a positive sign for the region.

'This is hugely pleasing and confirms what I am being told on the ground. The Bay of Plenty economy is going incredibly strongly and is perhaps the best regionally in the country at the moment.”

The Bay of Plenty also records a significant increase of 5.7 per cent in people employed (7,900 people) over the year to March, says Statistics New Zealand labour market and household statistics senior manager Jason Attewell.

'The total labour force increased by 38,000 people in the March 2016 quarter. This resulted in more New Zealanders in unemployment and employment than three months ago.”

The growth in people employed (1.2 per cent) exceeded the growth in the working-age population (0.8 per cent) this quarter, says Jason.

This resulted in the employment rate going up to 65.1 per cent (from 64.9 per cent). Employment increased for men and women this quarter, including for women going into full-time employment (10,600 people). Compared with a year ago, 47,000 more people were employed (2.0 per cent).

'Nearly half of the annual employment growth in New Zealand was in the Auckland region. By industry, construction and the professional services each employed 17,500 more people.”

For the quarter, New Zealand's unemployment rate (5.7 per cent) was down from 5.8 per cent compared with a year ago.

Annual wage inflation, as measured by the labour cost index, increased to 1.6 per cent. Private sector wage inflation was up 1.8 per cent, and public sector up 1.4 per cent.

Salary and wage rate growth (including overtime) in the Canterbury construction industry continued to ease, to 1.3 per cent, in the year to the March 2016, quarter. For the rest of New Zealand, wage rate growth in the construction industry rose to 2.5 per cent, the highest annual increase since the series began in 2010.

'This is the second strong quarter of job growth in a row,” says Tertiary Education, Skills and Employment Minister Steven Joyce.

'Overall the economy has created 51,000 new jobs over the last six months, which underlines a strong economic bounce-back since the slower growth period in the first half of the 2015 calendar year.'

Bay of Plenty MP Todd Muller says it is a standout performance from the region.

'Our region created an additional 7900 jobs in the past year. Employment growth only happens when someone is prepared to put hard-earned dollars on the table to build and grow their business.

"So it talks to the huge business investment that is occurring in the Bay at the moment."