All Stats NZ staff offered voluntary redundancy option

Stats NZ has offered a voluntary redundancy scheme to all of its workers as a way to give staff some control over their “future” amidst widespread job losses in the public sector.

In an update to staff yesterday morning, seen by the Herald, Statistics New Zealand chief executive and Government Statistician Mark Sowden told staff voluntary redundancy will be offered until May 16.

Sowden said “a number of people,” including the Public Service Association, had asked the agency to do this. “This is to give you some agency over your own future, given the change processes underway.”

Voluntary redundancy is being offered to the entire organisation, despite other change processes being in place through various departments throughout Stats NZ. Sowden rationalised the decision saying it was thinking “as a whole organisation”.

Workers were told it is “absolutely” their choice, and the scheme is entirely voluntary. Stats NZ would be able to accept or reject applications; a similar process had happened at the Ministry of Social Development, where 404 people opted for voluntary redundancy and 200 were approved.

People have been told not to make any decision “on a whim”, and have been urged to speak with support networks, family, friends, and the Public Service Association, a union which is consulted on change proposals across departments.

Voluntary redundancy was not offered at Stats earlier because the agency “didn’t need to”, according to the memo.

In a statement, Government Statistician and Stats NZ Chief Executive, Mark Sowden said the agency had “been rethinking how we collect and produce data and statistics to meet the changing needs of people and communities, and looking at how we make use of different data sources and technology.”

“We’re also operating in a challenging fiscal context. Globally, we are seeing slow economic growth and high inflation which is pushing up the cost of doing business. As well as operating within our budget, we know we need to find savings to address the increasing costs of doing business,” he said.

Sowden said the agency had been making savings “for months”.

As at the end of December, 1491 people worked at Stats NZ, according to data from the Public Service Commission.

It followed a change process in the same month, that resulted in a loss of 29 jobs.

The agency has been tasked with finding 7.5 per cent savings, the highest amount a department has been asked to find, under the current directive.

All agencies have been urged to seek cuts between 6.5 and 7.5 per cent on average, with the Government previously admitting some may be over and some may be under the line. Finance Minister Nicola Willis has promised savings in some agencies will be re-invested into “critical” services, under the upcoming Budget.

The Herald has previously revealed communications from Stats NZ described the mood as challenging, with “unsustainably” high staffing levels and a multimillion-dollar budget overspend.

The Public Service Association is concerned the voluntary redundancies being offered will impact on the agency’s ability to deliver on its “core functions,” though it is supportive of staff having the options.

Assistant Secretary Fleur Fitzsimons said the PSA fears “the constant rounds of cuts required by the Government to pay for tax relief for landlords will impact the ability of Stats NZ to deliver the quality collection and analysis of data that businesses and communities depend on”.