Public Service Minister Chris Hipkins has announced that public servants earning more than $60,000 will only be offered pay increases under select circumstances for the next three years, Stuff reports. Senior leaders or those earning more than $100,000 should not expect pay increases, while those who earn less than $60,000, which is a quarter of the sector, would still receive pay increases. The pay increase restraint, according to Finance Minister Grant Robertson, was necessary in order to keep a cap on public debt which skyrocketed during Covid-19 to pay for expensive measures like the wage subsidy.
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