Hon Tony Ryall
Minister of State Services
26 March 2009
Government caps core government administration andpledges better performance
The Minister of State Services Tony Ryall today announced a cap on the number of coregovernment administration staff in the Public Service and selected Crown entities – effective immediately. Capping core government administration and giving priority to frontline services fulfils a pre-election pledge. The cap will be applied globally - to the total full time equivalent (FTE) staff in coregovernment administration - not to individual organisations. "The Labour Government let the bureaucracy get out of control. In nine years, the PublicService grew by 50%," Mr Ryall said. The cap on the size of core government administration has been set at 38,859 full timeequivalent (FTE) staff positions. The cap is based on the number of FTE staff in PublicService departments and selected Crown entities plus unfilled vacancies as at 31December 2008. It is also expected that the numbers of communications and publicrelations staff will be reduced. A global cap allows for greater flexibility in rebalancing staff numbers and resources between and within organisations to focus on frontline service delivery across the StateServices. "Our goal is to make more resources available for frontline services, where they matter toall New Zealanders," said Mr Ryall. "It is also better value for taxpayers' dollars." “The new Government's cap goes beyond a focus on staff numbers. Departments arelooking at smarter ways of delivering results, and ensuring that all expenditure iscarefully managed within budgets.” "Every family and every business is making changes because of global economicconditions. The State sector must play its part on behalf of everyday Kiwis to enable thecountry to get through," Mr Ryall said.