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Health NZ, hospital and aged care job losses: what to do if you work in health

7 minute readBy industry & region

In short

The PSA says Health NZ (Te Whatu Ora) has cut thousands of non-clinical roles since 2023 (union figures, from Official Information Act data). Clinical roles are in demand in many places, so health skills often transfer. Check your collective agreement (NZNO, PSA, ASMS or another union), keep your practising certificate current, and look at the aged care, primary care and rural markets.

What the data shows

A PSA analysis published on 5 January 2026 counted more than 30 restructures at Health NZ over two years, with about 2,100 FTE roles cut and roughly 640 health workers taking voluntary redundancy. On 23 February 2026 the PSA reported, using Official Information Act data, that Health NZ spent $57.91 million on voluntary redundancies and early exits for non-clinical staff between 1 November 2023 and 31 December 2025. The PSA estimates nearly 2,800 workers were cut or took voluntary redundancy in that period (its estimate, not a Health NZ figure). The union says its figures may understate the real losses.

We have not verified Health NZ's own response to these figures, so check Health NZ's statements. Administrative, planning, communications, IT and management roles have shrunk, while frontline vacancies remain in some places. These are union figures and not Stats NZ figures.

Who is most exposed

  • Non-clinical staff: planning and funding, data, communications, project and change roles, corporate support.
  • New graduate nurses and midwives, who can find it hard to get a first permanent job in some regions (ask your union or the Nursing Council for current information).
  • Staff on fixed-term contracts that quietly end, and locums or agency staff when agencies cut budgets.
  • Aged care and community providers facing funding squeezes, particularly small rural facilities.

Your rights and the process

The same redundancy rules apply as in any workplace: a genuine reason, consultation on a written proposal, fair selection, notice, and your final pay. Redundancy compensation is only payable if your collective agreement, contract or policy provides it. Many Health NZ collective agreements cover redeployment and compensation, so ask your union delegate for the clause that covers you.

  1. Get the written proposal and ask for a copy of the relevant collective agreement clause.
  2. Ask about redeployment: which vacancies are you eligible for and is there a redeployment register?
  3. Give written feedback by the deadline. Ask your union to attend meetings.
  4. If you are offered VR, ask for the figures in writing and take advice before the offer closes.
  5. Keep your registration: you need a current annual practising certificate (APC) to practise. Nurses renew with the Nursing Council of New Zealand, which issues APCs in one-year cycles based on your birth date (check your own expiry on its website). Doctors renew with the Medical Council and other health professions with their own authority. Working without a current APC is not allowed and can lead to disciplinary action.

Where health skills can still go

  • Aged residential care and home support: persistent demand for nurses and caregivers in many regions. Pay and conditions vary widely, so compare.
  • Primary care, urgent care and iwi or Māori health providers: some have funding pressure too, but many hire for clinical roles.
  • Rural and regional hospitals: often struggle to recruit. Check Health NZ and regional job boards.
  • Mental health and addiction support work.
  • Overseas: Australia and elsewhere recruit NZ health workers. Moving is a big decision, so check registration recognition before committing.
  • Non-clinical staff: transferable to other government agencies, insurers, universities, NGOs and consulting. See the Wellington guide and the professional-services guide.

Money while you search

Jobseeker Support may be available after your stand-down. Use the stand-down tool to estimate it, because a large payout can lengthen the wait. If your rent is high relative to your income you may also qualify for Accommodation Supplement.

Work and Income offers redeployment support for people facing redundancy. Its page says you can contact them before your job ends, even if no decisions have been made. Support can include a named contact who helps with your CV and cover letter, looks for jobs or training, connects you with employers and arranges financial support between jobs.

  • Email RedeploymentSupport@msd.govt.nz (the address Work and Income lists for redundancy support).
  • Call Work and Income on 0800 559 009 to talk about payments such as Jobseeker Support or a Transition to Work Grant.
  • Book a free career conversation with the Direct Career Service on 0800 222 733.

Sources

General information only. Confirm with the agency for your situation. Spotted something out of date? Email help@unemployed.nz.