When the coalition government took power in 2023, they promised to cut public spending by moving resources from bureaucracy to the front line. This led to many jobs in the public sector being cut. But how many jobs were really lost? It’s not easy to agree on the numbers.
The Government’s Cost-Saving Mission
The government aimed to reduce costs after the public service grew by 34% from 2017 to 2024, mostly under the Labour government. Finance Minister Nicola Willis said the public didn’t get good value from the previous government’s spending.
Counting the Cuts: RNZ’s Investigation
From April 2024 to the end of the year, RNZ tracked job losses across Wellington’s public sector. They asked 113 government bodies if they had cut jobs due to the government’s savings plan. 56 said yes. RNZ found that around 9500 jobs were lost, but there’s debate over this number.
Key Statistic: RNZ reported a total of 9520 job losses by December 2024, including both filled and vacant positions.
Discrepancies in Numbers
The Public Service Commissioner, Sir Brian Roche, suggested a much lower figure of 2000 job losses. The Public Service Commission’s data showed a decrease of 2731 full-time equivalent (FTE) staff from December 2023 to December 2024. Why the difference? The Commission’s count doesn’t include vacancies or all Crown organisations, which RNZ did include.
Should Crown Entities Be Counted?
RNZ included job losses at Crown entities like Health NZ, Kāinga Ora, and the Police to show the full impact of the government’s savings. Experts like Karl Lofgren from Victoria University support this approach, saying it’s important to see the whole picture.
The Debate Over Vacant Jobs
RNZ counted vacant jobs as losses because these positions were once meant to be filled. However, some argue, like Geoff Plimmer, that these shouldn’t count since they were never filled. Others, like Stephen Blumenfeld, think it’s fair if the intention was to fill them eventually.
Comparing the Counts
To compare apples with apples, RNZ estimated what their count would be if they only looked at the core public service and excluded vacancies. They found 5247 jobs lost in the public service, with about 1090 of these being vacant. This brings the number down to 4157, closer to the Commission’s figure but still different.
Important Context: The public service grew significantly before these cuts, doubling since 2000. This growth is crucial to understand the scale of the recent job losses.
Public and Political Reaction
The cuts have been criticized by opposition parties and unions. However, Minister Willis stands by her claim that RNZ’s numbers were wrong. Public Service Minister Judith Collins clarified that the government’s focus was on core public service cuts, not including all Crown entities or vacant positions.
Conclusion
Understanding the true number of public sector job cuts in Wellington involves looking at different data sets and definitions. While RNZ’s comprehensive approach gives a broader view, the government’s narrower focus provides a different perspective. For Wellingtonians, the impact is real, with thousands of jobs affected, whether filled or vacant, across various public sector entities.
This article was brought to you by One Network Wellington Live, your source for local news and insights in Wellington.
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