Defence force gets another pay rise

Military personnel are getting an immediate pay rise, Defence Minister Mark Burton said today.

Effective Friday, it will be the fifth pay increase since 2000 and will average 4.3 per cent with a minimum $1200 for all personnel, he said.

It will be a two-step adjustment and across the ranks the increases range from 3 per cent to 7.5 per cent.

Mr Burton said the 10-year, $4.6 billion Defence sustainability Initiative (DSI) announced in May highlighted the need for further investment in personnel.

"The funding from the DSI has enabled the Chief of Defence Force, Air Marshal Bruce Ferguson, to take prompt action to implement this latest pay increase," he said.

"The Government recognises that the Defence Force's greatest asset is its personnel and has provided the security of a 10-year funding package to allow for a planned, strategic approach to rebuilding NZDF's personnel numbers."

Mr Burton said with one of the lowest unemployment rates in the OECD and high demands for skilled workers across a range of industries, recruitment and retention were a real challenge for the Defence Force.

- NZPA