Tā te Tumu Whakarae taiutu Chief executive remuneration

Accountability for setting chief executive remuneration 

The approach to setting chief executive remuneration balances 2 things — the need to maintain public trust and confidence in the public sector, and the need to attract and retain chief executives who are motivated by a spirit of service. There are a range of reasons why public sector remuneration — particularly at the senior executive level — is and needs to be lower than the private sector.

The Public Service Commissioner (the Commissioner) is the employer of chief executives of departments and departmental agencies, and determines their remuneration, except for those whose remuneration is set by the Remuneration Authority.

The Remuneration Authority is responsible for determining the remuneration of some chief executives and Officers of Parliament (including the Commissioner and Deputy Public Service Commissioners). The following analysis doesn’t include those whose remuneration has determined by the Remuneration Authority.

The Commissioner provides guidance to the boards of Crown agents, autonomous and independent Crown entities, and Tertiary Education Institutions (TEIs) on chief executive remuneration. This guidance is used by boards who employ chief executives and are therefore responsible for agreeing the terms and conditions with their chief executives. These are finalised after the Commissioner gives his consent.

Remuneration packages paid to chief executives of departments and departmental agencies

Total remuneration for secretaries of departments and chief executives of departmental agencies comprises base salary, an employer contribution to superannuation and the value of any benefits (such as a week’s leave above the statutory 20 days). 

Table 1: average remuneration of chief executives of departments and departmental agencies*  

*This excludes those whose remuneration is determined by the Remuneration Authority and the interim Health departmental agencies  

The average remuneration package paid to secretaries of departments and chief executives of departmental agencies has increased by 0.8% in the year to 30 June 2025. The net result over the last five years is a 3.7% increase in average remuneration. This increase does not include the 6-month voluntary 20% pay cut taken by all chief executives of departments and departmental agencies in 2020/21.  

Remuneration increases by organisation type

The following table sets out the median and average increases implemented over the three years to 30 June 2025. This data excludes increases due to job size changes and chief executive remuneration reviews that have not yet been confirmed. 

Table 2: median and average percentage increase *

*This excludes Public Trust and Guardians of New Zealand Superannuation. The Public Service Commissioner takes a different approach to discharging his responsibilities under Section 117 of the Crown Entities Act for these two entities, by treating them as if they were a State-Owned Enterprise (SOE). As part of this process, the Commissioner’s consent is informed by advice from the Treasury regarding comparable remuneration for SOE Chief Executives. Public Trust and Guardians of New Zealand Superannuation disclose Chief Executive remuneration through their annual reports.  

** This includes autonomous Crown entities, independent Crown entities and Crown entity subsidiaries 

***Data Sources: 

• 2022/23 – Korn Ferry - Chief executives and group heads fixed package — New Zealand Market Context March 2023 

• 2023/24 Korn Ferry – Grades 21-27 Industrial & Service fixed package – New Zealand Market Context March 2024. 

• 2024/25 Korn Ferry – Grades 21-27 Industrial & Service fixed package – New Zealand Market Context March 2025. 

Comparison of levels of remuneration across sector 

The graph below plots remuneration against job size for chief executives in different sectors.   

These trend lines are based on data for the 2024/25 year. Remuneration lines are based on our data (for departments and departmental agencies, DHBs and TEIs, and other Crown entities — year to 30 June 2025) and Korn Ferry New Zealand (for private sector and state-owned enterprises — year to 31 March 2025). 

The graph shows a clear relationship between remuneration and job size — the ‘larger’ the job, the higher the pay.   

The graph shows the varying degrees of influence the Commissioner has over senior pay. The Commissioner has no influence over private sector and state-owned enterprises. The greater the Commissioner’s influence, the lower the levels of pay (for the same size of job). Accordingly, the lowest line is for chief executives of departments and departmental agencies whose pay is set by the Commissioner.  

At the request of Cabinet, we have publicly reported on chief executive pay since 2010 to provide transparency for the public. This includes the secretaries of departments, chief executives of departmental agencies, Crown agents and other statutory Crown entities, TEIs, Offices of Parliament and non-Public Service departments.

Chief executive remuneration 

The chief executive remuneration table includes the remuneration of the secretaries, chief executives and acting chief executives for organisations across the public sector. As noted above, remuneration for chief executives is set differently depending on type of organisation. 

This table is updated twice a year, and shows:  

• remuneration that was earned between completed remuneration reviews 

• remuneration earned up to the end date of appointments which have been completed. 

The Detailed Disclosure Notes provide more information on how the data is compiled. 

Chief executive remuneration detailed disclosure notes 

For further information about Senior leader remuneration, see our Workforce Data - Senior leader remuneration/ pay   

Previous disclosures

Remuneration Overview 2020(PDF, 475 KB)

Senior Pay Report 2019(PDF, 6.9 MB)

Senior Pay Report 2018(PDF, 2 MB)

Senior Pay Disclosure Tables 2018(XLSX, 71 KB)

Senior Pay Report 2017(PDF, 2.7 MB)

Senior Pay Disclosure Tables 2017(XLSX, 66 KB)