The Government has employment relations expectations for the public sector.
Te Tauākī Kaupapa Here Ohu Mahi Kāwanatanga Government Workforce Policy Statement
On 7 August 2024 the Minister for the Public Service issued a Government Workforce Policy Statement (the Statement) setting out the Government's expectations of how it wants the Public Service and most other public sector agencies to effectively manage employment relations.
Government Workforce Policy Statement
The Statement outlines expectations for an effective employment relations environment in the public sector that will support the delivery of high performing, trusted, and efficient public services.
This Statement covers a range of workforce matters including remuneration, negotiation of employment agreements, capacity and composition of the workforce, pay equity, diversity, data and information. It does not predetermine the outcome of bargaining with unions but should influence employers’ bargaining strategies and proposed settlements.
The Government expectations relate to four priority areas:
- Employment outcomes are fiscally sustainable and respond to the current fiscal context and any current budget advice.
- Employment conditions and remuneration settings support a high performing public sector and delivery of effective, efficient, and responsive services.
- A diverse and inclusive Public Service workforce that is responsive to the needs of all New Zealanders.
- Agencies manage their workforce size and composition, including to reduce expenditure on consultants and contractors.
Whakaaetanga tōpūtanga, kerēme utu ōrite hoki Negotiating collective agreements, and pay equity claims
The Public Service Commissioner (Commissioner) is responsible for the negotiation of collective agreements, and pay equity claims in the Public Service. In practice the powers and functions associated with these roles are delegated to Public Service chief executives.
The Commissioner’s delegations to Public Service chief executives has been updated through a single delegation instrument for the functions and powers in respect of these two responsibilities.
Departments Workforce expectations and Delegations letter - Agency year 2024
Pay equity Te utu ōrite
The Commissioner’s bargaining delegations instrument also delegates the Commissioner’s functions and powers to deal with pay equity claims subject to certain conditions. Agencies are to deal with pay equity claims in accordance with the Equal Pay Act 1972, Government policy and expectations (including the Statement), and within any guidelines and parameters which the Government may set from time to time. This includes any guidance set by the Commission or any guidance on the fiscal management of remuneration, bargaining or pay equity costs set by The Treasury.
If agencies have questions about pay equity claims, you can direct the question to:
- your usual employment relations contact at the Public Service Commission for bargaining matters, if your agency bargains under delegation from the Commissioner or refer to resources at Pay equity - Te Kawa Mataaho Public Service Commission
- your agency’s Treasury Vote Analyst for any Budget related questions (if relevant)
- Ministry of Business, Innovation and Employment’s Home | Employment New Zealand website for a link to the Equal Pay Act 1972 and for guidance and information on the provisions of the Act or Contact us | Employment New Zealand
He raraunga tautoko Data to support agencies in bargaining
The Commission reports quarterly on wage movements across the public sector and Public Service, as measured by the Labour Cost Index (LCI).
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Labour Cost Index reporting
Each quarter Te Kawa Mataaho reports on wage movements as measured by the Labour Cost Index (LCI). The LCI is released quarterly by Stats NZ. It measures changes in salary and wage rates in the labour market for the same quality and quantity of labour. The Index is “adjusted”, moving with changes in the price of labour, holding the volume of labour (quality and quantity) static.
The Commission uses the LCI to monitor and oversee wage movements, including bargaining outcomes, in the public sector and select public sector sub-sectors, including the Public Service, and the health and education sectors.
Latest Report
Labour Cost Index - September 2024 quarter
Historical Reports
Labour Cost Index - June 2024 quarter
Labour Cost Index - March 2024 quarter
Labour Cost Index - December 2023 quarter
Labour Cost Index - September 2023 quarter
Labour Cost Index - June 2023 quarter
Labour Cost Index - March 2023 quarter
Labour Cost Index - December 2022 quarter
Labour Cost Index - September 2022 quarter
Labour Cost Index - June 2022 quarter
Labour Cost Index - March 2022 quarter
Find earlier LCI reports in the Publications Directory.
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Collective Agreement Fact Sheets
Te Kawa Mataaho has undertaken a project which seeks to better understand the content of Public Service collective agreements by codifying the terms and conditions within them. These fact sheet summaries provide a snapshot of findings.
Ture taimahi Employment legislation
Information on the Employment Relations Act 2000 and related legislation and on minimum employment rights in New Zealand can be accessed through the Ministry of Business, Innovation and Employment’s Employment New Zealand website. The site contains useful guides to key employment processes, including collective and individual bargaining and minimum holiday and other leave entitlements. This site also has a link to the employment law database where copies of decisions of the Employment Relations Authority and the Employment Court can be accessed.
Find the Employment Relations Act 2000 and all other New Zealand statutes on the New Zealand Legislation website.
Home — New Zealand Legislation
The Public Service Act 2020 requires the chief executive of each department and the board of each interdepartmental venture put in place a process for reviewing appointments within their agency that are the subject of a complaint by an employee.
Guidelines for public service agencies conducting a review of appointments