Government to announce Defence boost, hoping to retain staff

The Defence Force will get a funding boost in the Budget. Photo / NZDF

The Government will announce a boost for the Defence Force today, likely to be additional funding for staff retention.

The announcement will be made at the weekly post-Cabinet press conference.

Retention has become a big problem for the Defence Force. It has been brought about by low pay, better wages in the private sector, and frustration with the long, tedious deployment as part of the Government’s Managed Isolation and Quarantine system.

Nearly 30 per cent of full-time uniformed staff across the army, air force and navy have left in the past two years.

The Government intends to address some of these concerns with additional funding today, although it is not clear how the increased money will be delivered and how much the Government intends to put up.

In the 2022 Budget, former Defence Minister Peeni Henare secured $90m over four years to improve the pay of lower-paid staff.

“We have seen throughout the Covid-19 response that some of New Zealand’s lowest paid workers can be some of our most essential, so I am proud that Defence is doing its bit to boost pay for those on lower incomes, delivering them greater economic security,” Henare said at the time.

Andrew Little, who was made Defence Minister earlier this year said retention was his “number one priority”.

According to a briefing to Little when he became minister, the Defence Force has a total strength of nearly 15,200 personnel, comprising approximately 9215 Regular Force, 3030 Reservists, and 2940 civilian staff members.

Little also inherited a defence policy review, which will look at where investment is needed. It was due to wrap up in 2024, but Little has asked for work to be accelerated to guide investment.

Today’s announcement will not relate to this.

With the Budget less than a fortnight away, the Government is in the midst of a cycle of what is called pre-Budget announcements - spending promises that are included in the Budget, but announced ahead of Budget day.

Alongside the Defence announcement, the Government will also give some certainty to the Coromandel over what is to happen with roads washed out by the summer deluge.

The Budget will be delivered on May 18.