March 31, 2026

Rising fuel hits frontline workers, will the government deliver relief?

s brown nz
Photo source: Simeon Brown MP, Facebook

Ministers have requested “urgent advice” on ways to ease the burden of rising fuel costs on in-home care workers and other public servants facing similar pressures.

Support workers, many earning just above minimum wage, have long been expected to cover their own travel expenses to visit injured, disabled, or elderly New Zealanders. Soaring fuel prices have intensified this strain, prompting the Public Service Association and E tū to lodge an Employment Relations Authority claim against Health NZ. Ministers are emphasising solutions that support workers without creating unsustainable costs for taxpayers.

“These are incredibly valuable New Zealanders who play an important role caring for many thousands of New Zealanders, elderly, disabled, and those on ACC,” Health Minister Simeon Brown said.

Brown indicated that relief could come through an increase in the existing mileage allowance, which has not been adjusted in four years.

Finance Minister Nicola Willis said ministers had received preliminary advice on long-standing sector issues and were now awaiting further guidance on targeted support measures.

“We’re not going to have time to solve all of the underlying issues that are there – the claims which are made on both sides of the debate, both the contractor and the workers – but we can do something temporary, targeted and timely.”

Officials are also reviewing whether other public servants might be under similar pressure due to travel requirements.

“We need to be aware of the impact that fuel costs are having on those workforces where they have to travel between clients for their jobs.”

“We have sought advice on where else that might be an issue in government. And in the first instance, we will be asking agencies to ensure those costs are met from within their own baselines. But we are looking to understand what those pressures could look like now and in the weeks and months ahead.”

Subscribe for weekly news

Subscribe For Weekly News

* indicates required