Prosperity doesn’t start with a shredder

Opportunity's position on proposed public sector cuts

 

Key points 

  • Opportunity supports the development of a long-term strategy for use of AI in government services - not arbitrary public service cuts like those proposed by the Government. 
  • These proposed cuts are poorly planned and reinforce the waste of “pendulum politics” - which increases distrust in government and weakens the services Kiwis depend on. 

 

There is a way to cut public service costs well. John Key’s Government showed us how. 

IRD’s ten-year digitisation programme started in 2011. Bipartisan commitment made for careful planning and a controlled rollout. The vision was backed by a $1.65 billion investment and job losses were managed through attrition, rather than abrupt morale-wrecking restructures. A decade later, New Zealand is saving at least $100 million a year, with 1,600 less IRD staff - while at the same time ensuring everyday Kiwis enjoy a world-class tax-paying experience. 

In contrast, this week’s proposed public sector cuts are arbitrary, severe and unplanned. They appear to be designed to score political points - like delivering a balanced budget next week or running-down public servants. 

Without a plan, cuts like these (that add up to around 12% of budgets and 14% of the public sector workforce) will only do one thing. Degrade the public services New Zealanders expect from their government. 

Sadly, this is yet another example of a political system that prioritises short-term political gain at the expense of thoughtfully planned, long-term progress. 

Opportunity supports using technology to improve the way government services are delivered to New Zealanders. We also back efficient and right-sized public services. 

But ‘technology’ is not a magic wand that delivers cuts on a whim. Like the Key Government showed us, implementing it well takes commitment, planning, political buy-in and proper resourcing. You can’t build an efficient public sector with a shredder.

We can have a New Zealand where a thriving tech sector supports huge gains in productivity - across both the public and private sector. We already have the building blocks - like world class software engineers and entrepreneurs who can build this stuff. 

What’s needed is a coherent approach that plans for the long-term, funds the core science that underpins innovation and builds a skills pipeline that equips our young people to be the developers, engineers and builders of tomorrow. 

That’s what Opportunity is standing for this election. Because just slashing the public service simply isn’t going to cut it.