Considerable work was carried out to develop a robust remuneration framework for the public sector based on the New Zealand Strategic Pay job evaluation system. The new framework is designed to remove disparities in pay that currently exist across the sector. The new policy will require all public sector jobs to be transferred to an improved job description template which better reflects the roles and responsibilities of each position as well as personal characteristics required. There are currently approximately 1,000 unique jobs across the sector, each requiring a job description with clear Key Result Areas (KRAs) and Key Performance Indicators (KPIs).
An evaluation of each job is undertaken by a team of trained job evaluators from across government and the private sector. The evaluation applies weighted points to ten key job factors with the final score determining where on the public sector pay scale the job should sit. The remuneration policy sets out requirements for paying premiums and/or discounted rates of pay, all of which are requiredto be approved by the Public Service Commissioner.
At 30 June 2016, 47.6% of public sector employees received base salaries of less than $20,000 per annum and 72.4% had annual salaries of less than $30,000. There were 122 (6.6%) of public servants with an annual salary in excess of $50,000, of which 9 (0.5%) earned $100,000 or more.