23 Apr 2025

PSA, Health NZ settlement saves 200 roles from being cut

5:37 pm on 23 April 2025
Health NZ has embarked on a series of job cuts.

PSA's national secretary Fleur Fitzsimons said 175 roles had been added back to the Data and Digital team. Photo: RNZ

The Public Service Association (PSA) says a settlement with Health New Zealand (HNZ) over the agency's proposed restructure of its Data and Digital and Pacific Health teams has saved around 200 roles from being cut.

HNZ said it's pleased with the settlement and said final decisions on the change processes would be issued in the coming weeks.

The union took HNZ to the Employment Relations Authority in February, arguing that its proposed restructures had breached the Code of Good Faith for public health, the Employment Relations Act and Te Mauri o Rongo - NZ Health Charter.

PSA's national secretary Fleur Fitzsimons said she was pleased the union's legal action had prompted the reversal of some damaging cuts.

"This is ultimately all about patient care. Both teams play critical roles in ensuring the health system delivers for patients and communities and supports clinicians to do their job, so it was important changes were made.

"But it shouldn't have taken legal action for Health NZ Te Whatu Ora to listen to what health workers were telling it about the risks to patient care and community health," she said.

Fitzsimons said 175 roles had been added back to the Data and Digital team, who were responsible for looking after the nation-wide IT systems and ensuring clinicians could access patient records 24/7.

In Pacific Health, she said HNZ had agreed to a smaller reduction of 22 roles, compared to the 50 it originally proposed.

"This is not ideal, but the unions feedback was taken on board, including retaining regional partnerships and protecting some crucial administration roles.

"In addition, some workers, previously facing redundancy, will be redeployed elsewhere in the health system so they can carry on their important work," Fitzsimons said.

HNZ said it was pleased it had reached an agreement with PSA on these two change proposals, and the union had agreed to halt legal proceedings for the Data and Digital and Pacific change processes.

"Health NZ has heard the views and concerns expressed by staff and has committed to enabling as many staff as possible to be retained or redeployed into roles in these teams and elsewhere in the organisation," its interim chief human resources officer Fiona McCarthy said.

However HNZ said it was unable to confirm the number of roles saved as decision documents were still being finalised.

Meanwhile, HNZ was still being challenged at the ERA for its proposed restructure of its procurement and supply chain business unit, and its systems improvement and innovation team.

Fitzsimons said they were seeking legal advice on whether to also challenge HNZ's restructure of four other teams - communications and engagement, finance, audit assurance and risk, and people and culture.

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