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Unemployment has risen slightly while wage growth appears to be slowing in the private sector, although public sector wage growth remains strong.
Stats NZ data showed the annual unemployment rate rose to 4.6 percent in the three months ended June, from a revised 4.4 percent in the previous quarter.
The rate was the highest since March 2021 and broadly in line with economists' and the Reserve Bank's expectations.
The increase in unemployment has been fuelled by cooling demand for workers and as migration surged to fill previous shortages in the labour market.
The level of underutilisation, a measure of slack in the jobs market, rose to 11.8 percent from 11.2 percent.
Private sector wages rose 3.6 percent annually, after the previous quarter's 3.8 percent rise, indicating wage inflation was cooling.
Public sector wages was up sharply at 6.9 percent.
"The effects of pay increases for some health workers, along with school therapists and early-childhood education staff, have all come through in public sector wage growth this quarter, in addition to other settlements seen over the year," Stats NZ labour market manager Deb Brunning said.