State Services Commissioner Peter Hughes has given public service chief executives an extra week's annual leave to make up for the financial hit they have taken as a result of losing their performance pay.
The State Services Commissioner, Peter Hughes, has given public service chief executives an extra week's annual leave to make up for the financial hit they have taken since losing their performance pay. Photo: RNZ / Rebekah Parsons-King
In August the Services Minister Chris Hipkins announced he was scrapping the bonuses to put the brakes on the growth rate of chief executive pay.
Mr Hughes appeared before the Governance and Administration Select Committee at Parliament today.
He said some chief executives had taken a serious financial hit from losing their performance pay, in some cases as much as $80,000 per year as a result.
Mr Hughes said they are also earning a lot less than they would if they held a similar position in the private sector.
"Public service chief executives are forgone a significant amount of salary, as part of that they have gained a few days leave, but overall they have forgone a significant amount of salary and I absolutely commend them for agreeing to that, I could not make them do it, they have all agreed to do it.
"You will see public sector salaries at the top end coming back."
National's Nick Smith was not impressed.
"I think it's very poor form that the leaders of the public service somehow think that they need an extra weeks holiday than the thousands of dedicated public servants that might work in Customs, whether it be in terms of the Ministry of Education or Corrections or any other agency."
Mr Hughes said he would be releasing the annual senior pay report very shortly.
