The service sector is targeting the next generation of school leavers amid fears of a potential skills shortage in the coming years.

A report compiled by Business and Economic Research for At Your Service Aotearoa has predicted around 200,000 extra service workers will be needed by 2020.

The service sector - including teachers, nurses, cleaners, hospitality workers - comprises 29 percent of the New Zealand economy.

Extra service workers are needed to support strong growth in the tourism and retail sectors, as well as fill the gaps in an ageing population.

At Your Service Aotearoa spokesman Bruce Robertson said they need to change student perceptions of the service sector.

"I think people have got an unfair perspective of the service sector as a place to start," he said.

"We think it's a genuine career option, and we need to be attracting more school leavers."

LISTEN ABOVE TO BRUCE ROBERTSON SPEAKING TO RACHEL SMALLEY