Mental Health Foundation looks to cut roles due to government funding failing to meet rising costs

The Mental Health Foundation provides resources, advocacy, and support. Photo / 123rf

The Mental Health Foundation is looking to cut jobs as current government funding fails to meet increasing costs and demand.

The NGO is proposing to cut 10 roles out of 56, some of which are part-time or on a contract, due to the funding shortfall.

The foundation estimates around half of its income is from Government contracts, which go towards health promotion resources, campaigns, and programmes around mental health.

In a statement, Mental Health Foundation chief executive Shaun Robinson said “like many other NGOs reliant on fundraising, donations, and contracts from government, MHF are grappling with costs rising faster than income”.

“We have not had any government funding cut, but our government-funded contracts have not kept pace with rising costs over a number of years. Alongside this we are facing a decrease in fundraising revenue owing to record inflation and a recession,” Robinson added.

Robinson said the organisation needs to adapt to these challenges and change the way it’s organised “to ensure our important mahi continues to enable all New Zealanders to enjoy positive mental health and wellbeing”.

It is currently in a change proposal that could see 10 fewer roles in the organisation.

“The MHF is in the middle of a proposal for change which could result in 10 fewer roles in the organisation. Staff are currently being consulted, therefore during this time we will not be discussing any specifics,” Robinson said.

The move from the Mental Health Foundation, which is being consulted on, comes after a back-and-forth confusion around the Ministry of Health’s suicide prevention office. Mental health advocates slammed the proposal, under the Ministry of Health’s savings plan, which includes cutting a number of jobs, and, as revealed by the Herald, would see a number of roles in tobacco regulation axed.

Mental health advocate Mike King was in favour of getting rid of the ministry’s suicide prevention office, telling TVNZ it “is exactly the sort of bureaucracy we need to get rid of”.

Foundation leader Shaun Robinson did not consider the work it did to be “frontline”, but said it is public-facing.

The foundation, which isn’t a public service agency, is not part of the Government’s directive to find cost-savings, in relation to Public Service and Finance Minister Nicola Willis’ first budget.

A Health New Zealand Te Whatu Ora spokesperson acknowledged “annual contract increases in recent years have struggled to keep pace with rising costs across a range of primary and community providers”.

The agency said the Government is required to make decisions across “competing priorities”, including in the health sector.

A Health NZ spokesperson promised the agency “works hard to ensure that the available funding is targeted at meeting cost pressures faced by a range of providers”, including the Mental Health Foundation.

“Health New Zealand is working closely with the Mental Health Foundation to mutually agree the priority programmes to be delivered within their current funding,” Health New Zealand said in a statement.

Contract variations were unable to be confirmed until the May 30 Budget was unveiled.

Mental Health Minister Matt Doocey has been contacted for comment.

Azaria Howell is a Wellington-based multimedia reporter with an eye across the region. She joined NZME in 2022 and has a keen interest in city council decisions, public service agency reform and transport.