MBIE itself has been seeking 7.5 per cent cost savings and has opened a voluntary redundancy scheme twice thus far, with 111 people approved to leave the agency through the scheme. Not all who applied for voluntary redundancy have been approved.
Callaghan says it has taken a detailed look at its foundational documents to guide the change process, which staff have reportedly been fearful about.
“When Callaghan Innovation was created, there was a clear expectation that our main focus should be to support industry-led science and technology-based innovation and its commercialisation,” the agency said.
Callaghan Innovation has confirmed it wants to work with the private sector to use science, technology and innovation to turn profits and bolster the New Zealand economy.
The agency has acknowledged the process has “not been easy”. In a statement, it said “this is a difficult time for many of our scientists and engineers, who are widely respected for their contributions and high-level of expertise in their respective fields”.
Public service agencies are being urged to find cost savings between 6.5 and 7.5 per cent, as the Government seeks $1.5 billion in savings per annum to deliver on its policies.
The jobs of 30 scientists and engineers at Callaghan Innovation are the latest casualties of the Government’s drive to reduce its investment in research and development.
National secretary for the Public Service Association (PSA) for Te Pūkenga Here Tikanga Mahi Duane Leo said: “It’s surprising that the Government talks big about driving a productive economy, but yet it wants to pull back sharply on science and research.
“These are scientists and engineers who are working in important areas like biotech and industrial chemistry. They create new products out of our agricultural industries as well as innovating in other parts of the economy.
“This is all about jobs for the future and growing the economy. It is just such short-term thinking. The strongest economies in the world invest strongly in research and development, but our government is prepared to sacrifice that for some misguided goal of cutting taxes for landlords and others.”
The PSA said it believes many of those potentially facing redundancy will leave New Zealand for jobs overseas.
The Ministry for the Environment has also confirmed a voluntary redundancy process is in place, from today.
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.
