More than half the staff at Rotorua's Inland Revenue office are to have their jobs axed.
The Inland Revenue Department is to disestablish 156 full-time workers from offices in Rotorua, New Plymouth, Napier,
Nelson and Invercargill.
In Rotorua, 37 of the 67 current fulltime positions will go.
The department originally planned to axe 191 jobs nationwide but after the Public Service Association made submissions on behalf of union members, 35 jobs were saved throughout the country.
Public Service Association national secretary Richard Wagstaff said the job losses would see so-called "virtual jobs" from
regional centres go to metropolitan hubs.
He said the union remained unconvinced it was the right thing to do.
"The PSA and its members made submissions to [Inland Revenue] in which members outlined why key roles needed to remain at these centres if the department was to serve the public effectively," Mr Wagstaff said.
As a result of the union intervention, each site will now have an additional community compliance officer and an extra team
"Each site also keeps key support staff which will allow compliance officers to focus on delivering services out in the community," he said.
"While we're happy to see 35 jobs remain in these centres we strongly disagree with the department's decision to shift so-called virtual jobs from regional centres to metropolitan hubs."
People needed work, Mr Wagstaff said.
"Despite conceding that these jobs can be done anywhere, [Inland Revenue] is ripping badly needed work out of the regions," he said.
"While public service job cuts impact wherever they happen, the scarcity of work in provincial New Zealand makes them particularly difficult for those communities.
"Good jobs in the provinces bring benefits for the whole community, so local businesses feel the impact when jobs go," Mr
"Whichever political party wins the November election we hope it's one that invests in the public services New Zealanders
want and need rather than cut them to the bone as we've seen over the last three years."
Rotorua - From 67 to 30
Invercargill - From 82 to 28
New Plymouth - From 64 to 38
Napier - From 87 to 77
Nelson - From 51 to 32