New Zealand pushes AI-driven government efficiency plan

New Zealand’s government on Tuesday unveiled a major overhaul of its public service, targeting the elimination of around 8,700 jobs as part of a broader cost-cutting and efficiency drive expected to save about NZ$2.4 billion (approximately US$1.41 billion) over four years, News.Az reports, citing Xinhua.

Finance Minister Nicola Willis said in a speech that the reforms would streamline government operations by reducing the number of departments, expanding the use of artificial intelligence and other digital tools, and introducing a “sinking lid” cap on agency operating budgets.

Under the plan, the government aims to reduce core public service staffing to about 55,000 by mid-2029, down from more than 63,000 currently, Willis said.

Public Service Minister Paul Goldsmith said administrative workforce growth had been “nearly three times faster than the overall labour force.”

He said the reductions would be carried out gradually over several years through digitisation, departmental mergers, process simplification, and natural attrition, adding that teachers, healthcare workers, police officers and defence personnel would not be affected.

Goldsmith also said progress would be closely monitored, with agencies expected to show improvements in productivity, service delivery and overall value for money.

News.Az 

By Nijat Babayev