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Defence Force staff will receive a pay rise of between 10 and 12 per cent in a move to address staff retention problems.
The pay rise will be effective from July but Brigadier Mark Wheeler said the rise was no silver bullet in the current tight labour market.
He said the Defence Force had been reviewing remuneration for the past couple of years and the money would come from the Defence funding package and from efficiencies that had been freed up from baseline activities.
National MP Wayne Mapp said the increase was needed after last year's unsatisfactory pay increase of a $1,000 across-the-board payment, which he said was insulting and more likely to make people leave than stay.
Mr Mapp said the latest rise was significant as there would not be many sectors getting that kind of hike.
- NEWSTALK ZB