Contractor cost blowout a slap in the face of hard-working public servants


The Public Service Association (PSA) says the blowout in spending on contractors at the Ministry of Social Development (MSD) is a slap in the face of hard-working public servants who have been constantly told there isn’t enough money.

Richard Wagstaff, PSA national secretary, said “MSD’s workload has increased in recent years, but staff are being told to ‘do more with less’ and are reaching breaking point,”

“The Government’s push to cap public service employee numbers was always destined to lead to an increase in the amount spent on contractors.

“To find out nearly $12 million being spent on contractors will frustrate many MSD staff who are doing it tough.

“The public service needs to invest in public servants, not contract out to private companies who offer worse results, and often end up costing more.

“The Government’s ideological obsession with contracting has led to Anne Tolley saying Serco could take over some of the work of Child, Youth and Family, which is bound to result in more costly failure.

“This contracting obsession has to stop, and the Government needs to start giving public servants the resource they need to do the jobs New Zealanders expect them to do,” said Richard Wagstaff.