Face of the Day

The government has announced plans to slash public service jobs by about 14 per cent over the next three years in a shake-up it says will deliver $2.4 billion of savings.

The changes announced in a pre-budget speech delivered by Finance Minister Nicola Willis on Tuesday would result in about 8700 job losses by mid-2029.

“Historically, core public service numbers have been equivalent to about one per cent of the population. After a period of largesse under the last government it now hovers around 1.2 per cent.

“We will be tracking progress towards a numerical target of no more than 55,000 full-time equivalent public service employees by July 2029. That’s 8700 fewer than were employed in December last year,” Willis said.

There are currently just over 63,000 full-time public servants, which is a slight decrease under this coalition government from the high of approximately 65,000 in the 2024/25 year.

RNZ