The primary production region of Gisborne is "feeling the pain" of the recession with another employer slashing staff numbers by half.

Antipodean working holiday makers should be encouraged to spend longer in the UK so the nation can benefit from their talents, a British think tank says.

The Govt appears to accept it cannot deny the benefit to young people who refuse work or training until there are enough training places available.

Some 42 per cent of white-collar employers froze salaries in the past six months, research shows.

Taskforce chairman Don Brash is confident New Zealand can close the gap with Australian levels of productivity and income by 2025.