Ministry of Health workers have pushed back against proposals to freeze remuneration increases to workers above a mid-range, in documents seen by the Herald.
The documents, sent to staff amid confirmation of the total job cuts, reveal which roles are being slashed, the feedback the agency received, and how workers at each department found out their fate.
In its change proposals, which had been under consultation before final decisions were announced, the Ministry of Health planned to not apply remuneration increases for those above the mid-point, this year.
Workers opposed the plans, in feedback revealed in the agency’s blueprints, prompting a change of heart by the ministry.
In feedback revealed in the documents, staff suggested the proposal “created feelings of being undervalued and marginalised, with others finding it demoralising and manipulative, and tone deaf given the current economic environment”.
It was suggested those on higher incomes could withstand going without a remuneration increase, compared to those on lower-incomes.
Suggestions were also made around reducing working hours on the same pay, and adding more paid leave. Vacancy freezes were also floated as a potential option.
Documents seen by the Herald reveal Ministry of Health worker feedback prompted an apparent u-turn from the agency.
After feedback, the ministry’s executive team decided to include a one-off lump sum payment, based on performance rating and position, for staff in pay bands from 12, a starting range, to 16.
In 2020, those in salary bands 12 to 16 were paid between $44,113 and $94,131 annually.
The document states it has managed to include the one-off payments by “finding additional savings”. Those on salary bands 17 to 19, on above-average pay for their band, will not receive a remuneration increase.
Those on bands above 19 will not receive a remuneration increase at all, including the executive team of the health ministry.
Remuneration increases will take place after talks in September. Payments will be made in October, backdated to July, the start of the financial year.
Staff feedback also displayed concerns about the transparency of the change process, some suggesting there was a lack of clear communication. The ministry’s leadership team said, in the document, that it had kept staff informed through regular updates.
The Ministry of Health is also pressing play on its plans to lease further floor space on its Molesworth St offices, in central Wellington.
“We are not expecting to need to make further personnel reductions based on the current fiscal settings the Ministry is required to operate within. Should the Wellington office subleasing opportunities not happen until later than planned, we have built in contingency to manage this should that be the case,” the document states.
Workers suggested some ministry functions were better suited with Te Whatu Ora, and eyed-up potential changes in the Auckland office, suggesting “often times it is near empty”.
In response, the Ministry of Health’s executive said it remains committed to flexible work policies, and has asked directorates to consider their budgets to reduce unnecessary expenditure.
Staff suggested corporate subscriptions should be reviewed, and ministry carpark access should be looked at. Workers wanted to see the ministry consider increased allowances to work from home.
Director-General of Health Dr Diana Sarfati told all staff she was satisfied the decisions which had been made “represent our optimal structural arrangements to deliver on our role and meet our ambitions as an organisation”.
“Please know that these decisions were not taken lightly and were made to ensure the Ministry is well placed to meet its priorities within a constrained financial environment.
“I understand the uncertainty that these decisions will bring for our colleagues who are affected and I want to assure you that support and resources continue to be available to help you navigate this challenging time.”
The Ministry of Health is aiming to be a “priority-led” organisation, with plans confirmed to stop existing work if it does not align with Government priorities.
The Ministry of Health’s mental health plans, revealed in documents seen by the Herald, suggests one more full-time equivalent role will be added to focus on suicide prevention across teams within its mental health, addiction, and suicide prevention group.
“This would maintain the current suicide prevention functions and work programme but the teams would be organised differently,” the document outlining the changes states.
The ministry itself said its focus on suicide prevention will now have a combined capacity of 7.5 full-time equivalent staff with the establishment of a new programme director.
Work surrounding the office itself would be done across different groups. The ministry rationalises the decision by saying different teams with time and resources will mean “we can bring the necessary expertise to address New Zealand’s high levels of suicide, particularly among young people and Māori, in a manner that tackles it as a system issue”.
Mental health advocates had clashed over the viability of the office, following the prior change proposal which planned for its closure, before backlash saw an apparent u-turn on the matter.
A number of roles in mental health, addiction, and suicide prevention will be cut, including the Associate Deputy Director-General and a group manager position; the Chief Clinical Advisor will also be disestablished, though a new role of Chief Clinical Advisor for the mental health and addiction team would be set up, alongside a group manager for the team.
The Suicide Prevention Office itself will be embedded into other groups, with plans to disestablish a vacant position as Director, a vacant role as an executive assistant, a role as a senior Māori advisor, and the principal operations advisor.
Staff feedback, collated in the documents seen by the Herald, states media attention regarding the proposed changes to the Suicide Prevention Office was “challenging” for staff. The internal document suggests the stand-alone nature of the small Suicide Prevention Office was “challenging for a cross-government and sector focus”.
In the documents, the ministry stated suicide prevention remains to be a “priority area”.
“Our intention is to elevate the focus on suicide prevention and bring it into line with the whole-of-government leadership role we are now undertaking across mental health, addiction and suicide prevention under the newly established Minister for Mental Health. We anticipate greater gains can be made for suicide prevention by leveraging our collective leadership functions, rather than isolating leadership within a small team,” the document reads.
Robyn Shearer, Deputy Director-General of the Ministry of Health’s clinical, community, and mental health team, said the agency was committed to ensuring “strong and visible leadership” in its new organisational structure.
Shearer confirmed the people and teams that deliver work on suicide prevention will be organised differently, under a multi-disciplinary team.
Clinical services, part of Health New Zealand, are not impacted under the ministry’s plans.
A national clinical director of oral health will be disestablished, with its function transferred to mental health.
The Ministry of Health’s leadership team has decided to extend the ability to apply for voluntary redundancy. All staff members impacted by the change proposal are able to apply to be made redundant.
“While we wish to retain talent, skills and experience in the Ministry, we understand that in the current environment, there will be kaimahi who wish to leave the Ministry on their own terms.
“We see [voluntary redundancies] as a way to assist kaimahi to take these opportunities, but we also see it as a way of enabling people to have certainty as soon as possible and to potentially avoid taking part in redeployment processes which can be time consuming and for some quite challenging,” the ministry’s executive leadership team rationalised.
Applications for voluntary redundancies close on June 17, with individuals notified in writing of the outcome of their application on the 20th.
The documents state all applications for voluntary redundancies will be considered. If no applications are accepted, the agency will have to undertake a selection process to see which staff members can be reconfirmed into the pool of reduced jobs.
Staff CVs and applications will be scored by a panel, with final selections being made after.
The Ministry of Health has confirmed its final job cut tally sits at 123 roles, a slight reduction on the initial proposal which would’ve seen 134 roles axed outright.
There are 247 roles being disestablished and 124 new roles, with contestable positions, are being set up.
This includes a number of teams which will see a reduction in size.
Redundancy is deemed a “last resort” by the ministry.
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.
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