Workforce data for the year ending June 30 has shown spending on contractors and consultants across the public sector decreased by $274 million, or 13%.
“Over the course of the year, the number of public servants grew slightly to 63,537, but the details reveal a year of two halves—ballooning growth under the last government offset by a 3.3% reduction under this government,” Finance Minister Nicola Willis said.
“The annual increase of 0.7%, or 421 employees, compares to average increases of almost 5% over the previous five years.”
The findings indicate that the measures the government is implementing to re-establish discipline in public spending and enhance value for money are proving effective.
The increase in public service personnel during the first half of 2023/24 can be primarily attributed to the decisions, initiatives, and priorities set by the previous government.
Moreover, the number of clerical and administrative staff has decreased by 10.8%, while policy advisors have seen an 8.3% decline.
However, this reduction has been balanced by a rise in service delivery positions, including a notable 16.9% increase in contact centre employees, who frequently serve as the initial point of contact for the public.
There has also been a 5.7% rise in the number of inspectors and regulatory officers, along with a 1.5% increase in social, health, and education workers.
“We’ve had to make some tough decisions. I feel for anyone who has lost their job, but no government can live beyond its means indefinitely, and we have to restore discipline to public spending by spending taxpayers’ money as carefully as they do,” Willis said.