Mary Anne Thompson. Photo / Mark Mitchell

Mary Anne Thompson. Photo / Mark Mitchell

The PSA union has commended Immigration Service boss Mary Anne Thompson for resigning, saying trust in the public service could have been eroded by questions about her handling of residency applications.

Ms Thompson's resignation comes as the State Services Commission (SSC) reviews the residency applications of some of her Kiribati family members, which were approved against normal Immigration Service policies.

PSA National Secretary Richard Wagstaff said there were continued questions about Ms Thompson's actions.

"We were concerned that these questions would linger while Ms Thompson remained at the Immigration Service.

"For that reason we believe she has made the right decision by resigning and we commend her for making that decision," he said.

The matter is still under SSC investigation, but a Department of Labour spokesman said Ms Thompson's resignation was her own choice and not based on any initial findings of that inquiry.

"We hope that the commissioner's investigation gets to the bottom of this case," Mr Wagstaff said.

"We can't allow any questions to linger that will erode the public's trust in the public service."

An earlier independent report into the case found Ms Thompson had not sought to influence the outcome.

National Party Immigration spokesman Lockwood Smith asked questions of the government in Parliament this afternoon.

Deputy Prime Minister Michael Cullen, who was answering questions on behalf of Clayton Cosgrove, said the minister had been aware of the investigation in April last year but did not become involved because it was an employment matter.

The resignation

In an email to staff today, Department of Labour Chief Executive Christopher Blake said Ms Thompson had stepped down on Monday as Deputy Secretary, Workforce, effective immediately.

"While this decision brings a degree of closure to these matters, I expect public scrutiny will continue around this and wider organisational issues," he said.

"I will be making no further public comment about the resignation, and I remind you to refrain from making any comment or speculation on this matter to persons outside the Department, especially to journalists."