Source: PSA
The Government has spent $10.7 million in redundancy payments to dismiss 209 workers at Callaghan Innovation, with more than half of these being scientists and researchers whose skills New Zealand desperately needs.
Details released to the PSA under the Official Information Act reveal the staggering cost to date of the Government’s reckless and short-sighted approach to cutting science funding.
Between November 2023 and September 2025, the Callaghan Innovation workforce has been slashed from 367 jobs to just 158 – a reduction of 57% in just two years with more workers to be laid off as the organisation eventually closes its doors next year.
“The Government talks big about investing for economic growth but is happy to spend $10.7 million to get rid of the very people we need to drive innovation and productivity – this is economic vandalism,” said Fleur Fitzsimons, National Secretary for the Public Service Association Te Pūkenga Here Tikanga Mahi. “This is a waste of money.”
Of the 209 roles cut at Callaghan Innovation, 114 are scientists and researchers, including the Chief Scientist.
The job losses also include the 15 strong Frontier Ventures team of industry experts hired from the private sector who were helping young companies navigate the commercial world and prepare them to scale up and succeed. They were shown the door, just one day after this year’s so called ‘Growing the Economy’ Budget.
“This is an obscene waste of money from a government which claims to want to spend taxpayer money wisely. But more importantly, this is a critical loss of expert scientists and researchers who had more to give New Zealand. It will set New Zealand back for years.”
Former Callaghan Innovation scientist Ben Wylie-van Eerd who was made redundant this year said: “I don’t understand why the Government was so determined to shrink the science sector, that it thought spending $10m to get rid of these skilled people who still had so much to give made sense.
“These are talented scientists and engineers. Many of my colleagues have moved overseas and have been snapped up quickly by organisations in Europe and Australia where their skills are valued. Sadly, I don’t think they’ll be looking to come back any time soon.”
All up the Government’s cuts have cost the jobs of more than 650 scientists across the science system, on top of cuts to various science funds.
“Countries that succeed, invest in their scientists and researchers – the Government prefers to pay them to leave. This won’t help New Zealand get back on track. It’s a disgrace,” said Fitzsimons.
The redundancy payments breakdown (June years):
– 2023/24: $2.87m – net reduction of 36 roles
– 2024/25: $5.72m – net reduction of 162 roles
– 2025/26 to date: $2.10m – net reduction of 11 roles
Total redundancy cost: $10.69m
Total net reduction in roles since October 2023: 209
– Scientists and researchers lost: 114
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