Economy Policy

44% of young public workers are planning to leave NZ for better pay: Survey PSA

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The survey findings come amid growing concerns about workforce retention and the wider economic impact of skilled migration.

A recent  survey by the Public Service Association (PSA) has revealed a deepening workforce crisis across New Zealand’s public sector, with more than one in four workers considering leaving the country in search of better pay and working conditions.


The findings paint an especially concerning picture for younger workers. Nearly half of public service employees under the age of 25 say they are thinking about moving overseas, while 44% of workers aged between 25 and 34 are also considering leaving New Zealand.


The survey, based on responses from 7,600 PSA members, highlights rising frustration over wages, job insecurity and changes to employment protections under the current Coalition Government.


Youth Crisis

According to the PSA, younger workers are increasingly looking towards Australia, where public sector salaries are significantly higher and employment conditions are viewed as more favourable.


PSA National Secretary Fleur Fitzsimons described the findings as a warning sign for the future of New Zealand’s public services.


“These are the nurses, social workers, corrections officers and home support workers who should be the future of our public services,” Fitzsimons said. “Instead, they’re looking to Australia where they’ll be paid thousands more and treated with respect.”


The union pointed to major wage differences between New Zealand and Australia across several frontline professions. A mental health nurse earning NZ$77,000 in New Zealand could reportedly earn the equivalent of NZ$93,000 in Melbourne, while prison officers could receive salaries nearing NZ$97,000 in Victoria.


Health Sector


Workers in the health sector and public service departments were found to be the most likely to consider leaving the country, with 29% indicating they were exploring overseas opportunities.


The PSA also said Auckland recorded the highest regional dissatisfaction levels, with one in three workers in the city considering relocating abroad for better pay.


Home support workers were identified as another heavily affected group. The union said around a quarter of the 8,000 home support workers it represents are considering moving to Australia, where hourly wages are reportedly between NZ$6 and NZ$10 higher alongside improved conditions and allowances.


Government Criticism


The PSA strongly criticised the Coalition Government, arguing that recent policy changes have intensified pressure on public service workers and weakened confidence in the sector.


Among the policies highlighted were:

  • Public sector spending cuts and job reductions

  • Changes to pay equity legislation

  • Amendments affecting sick leave and holiday pay

  • Reforms to personal grievance protections

  • The removal of Fair Pay Agreements

  • The return of 90-day trial periods

The union claimed these measures were contributing to declining morale and encouraging skilled workers to leave the country permanently.


Talent Drain


Fitzsimons warned that New Zealand risks losing an entire generation of skilled professionals if conditions fail to improve.


She said the country could face long-term shortages across healthcare, social services, corrections and other essential public services as experienced workers relocate overseas.


“Once they’re gone, that expertise walks out the door and may never come back,” she said.


The PSA also argued that international recruitment alone would not solve staffing shortages if New Zealand wages continue to lag behind comparable countries.


Economic Impact


The survey findings come amid growing concerns about workforce retention and the wider economic impact of skilled migration.


Labour shortages across healthcare and public services have already placed pressure on communities and frontline operations in recent years. Industry observers warn that continued departures could further strain hospitals, social care systems and government agencies already operating under staffing pressure.


The PSA is now urging the Government to reconsider its approach to public sector pay, employment protections and workforce investment before the situation worsens further.

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