Source: New Zealand Labour Party
Nicola Willis has set up the public service to fail to pay for reckless tax cuts for landlords and the tobacco industry.
Today’s analysis by the Council of Trade Unions shows that significant cuts to frontline public services will likely be needed to meet the Government’s directive to fund cost pressures – such as from inflation and population growth – from baseline funding.
“Nicola Willis has just gutted the public service to the tune of some 6000 people. Public services are already having to do more with less and we’ve seen how the frontline is being affected,” said Labour public service spokesperson Ayesha Verrall.
“To also have to manage cost pressures without more funding will likely lead to more job cuts and further undermine frontline work.”
“From cutting frontline work the Department of Conservation does to protect our most precious native species to hiring freezes at our hospitals, it’s clear the National Government has broken its promises to New Zealanders that frontline services would not be affected.”
The Government Workforce Policy Statement sets out the Government’s expectation that departments manage cost pressures through their baselines.
“This approach might ordinarily be sensible, but not after the public service has already been pared back to basics.
“Departments have just cut 6.5% or 7.5% from their baselines, leaving them already struggling to deliver their core functions. And now expecting them to absorb cost pressures when there is no capacity left, will lead to further front line cuts.
“Nicola Willis made reckless commitments about tax cuts that she couldn’t afford. She’s had to gut the public service and borrow to pay for them, all while handing $216 million to the tobacco industry, and $2.9 billion to landlords.
“Almost a year into her tenure as finance minister it’s time Nicola Willis took some responsibility, and realised that she cannot cut her way to a better New Zealand.
“Day by day we see cuts going deeper and further. A weakened public service is not good for anyone and New Zealanders are worse off for it,” Ayesha Verrall said.
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