Minister expects Landcorp to deliver bold turnaround plan
In his letter of expectations to the Crown-owned farming company – which trades as Pāmu – Brown noted its five-year average total shareholder return and return on equity
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Scoop
6 hours ago
- Scoop
Cabinet Ministers Defend Hiking Board Fees For Crown Bodies
Cabinet ministers are defending a move to hike board fees for Crown bodies by up to 80 percent, insisting those in the roles are overseeing billions of dollars - not just "beer and skittles." Labour says the decision proves the government is out-of-touch with the cost-of-living crisis and has accused it of trying to sneak the news by the public. A Cabinet document, quietly uploaded online on Monday, shows ministers agreed to lift the maximum annual fee for chairs of governance boards from $90,000 to about $162,000. The "Cabinet Fees Framework" is not binding but provides guidance to ministers when deciding compensation for those on a range of bodies, such as royal commissions and ministerial inquiries. Speaking on Tuesday, Luxon said public sector fees had become completely "out of whack" with private sector rates and needed a reset. "We need to make that a little bit more competitive, so that we can actually attract good talent," he said. Luxon said paying more to ensure "really good governance teams" could save billions in the long run. Finance Minister Nicola Willis echoed the point, stressing that New Zealanders deserved value for money. "This isn't beer and skittles. This is billions of dollars of public money. We need the very best people making governance decisions about it." Public Service Minister Judith Collins told reporters that the updated fees still fell short of private sector rates - around 80 percent of the going rate. "A lot of people who are experienced directors don't want to do these jobs in the public sector because they know they're going to lose money," she said. Collins said she did not think the public would be worried by the news. "One of the problems is that we've had an underperforming public service that's taken a hell of a lot of taxpayers' money, and so it is very important that we have the right people in charge of that." Hipkins accuses government of 'twisted priorities' Labour leader Chris Hipkins said the decision revealed the government's "twisted priorities" at a time when households were doing it tough. "They're saying that board members can get up to 80 percent increases in their pay, whilst nurses and teachers are being told to settle for 1 pecent or less," he said. "They've said everyone needs to tighten their belts - apparently except for the people who they hand-picked to put on public sector boards." Hipkins rejected the idea that higher fees were necessary to attract quality candidates, calling it "absolute nonsense." He said many public appointees had altruistic motivations and were already sitting on "very well paid directorships" in the private sector as well. "They're not doing it for the money," Hipkins said. Hipkins accused the government of trying to "slip this [announcement] out quietly" without scrutiny. But Luxon denied any secrecy: "It's normal practice... how it's been communicated." Hipkins does not appear to have issued a media release as Public Service Minister in 2022 when the then-Labour Cabinet agreed to a smaller 10 percent increase in fees. In November, State Owned Enterprises minister Paul Goldsmith did publish a release about a similar but separate move to increase director fees for 22 Crown-owned companies.
Otago Daily Times
15 hours ago
- Otago Daily Times
New med school to save $50m a year, govt claims
Nearly $2billion could be saved by 2042 if a new medical school to train rural doctors is created in Hamilton, the detailed business case for the project says. Made public at 6.45pm yesterday, a document dump including the business case reveals the cost of producing GPs at a new medical school at the University of Waikato would be $50million a year cheaper than doing it through existing medical schools. It was announced on Monday the government had decided to approve the country's third medical school, to be built in Hamilton. Over 16 years from 2026 to 2042 the total cost of medical education at Waikato, including capital costs that include building a new school, would be $9.1b, it says. It would cost $10.9b over the same period to increase the intake of students at existing medical schools and $10.2b if a new medical training programme focused on rural health, jointly run by the universities of Otago and Auckland was established. The Waikato option would also be the cheapest for the Crown in terms of its ongoing contribution to operating costs at $37.2m a year, compared with $45.5m a year for increasing intake at existing medical schools. But there are concerns the actual costs are still unknown. Green MP Francisco Hernandez said the government's decision to "dump" the business case after work hours on a Friday was "deeply insulting to the public". "This is not the actions of a government that is confident in the business case — and judging from what I've read so far they're right to not be," he said. Rather than engaging in good faith with Otago and Auckland universities and running an open process for a new graduate programme, the government had "deliberately stacked the deck to produce the outcome they want". "The cost benefit analysis also assumes no further cost escalations — and with the Minister [of Health] refusing to rule out further funding — we just don't know how deep the government's blank cheque will extend to back this flawed proposal," Mr Hernandez said. "Finally, the cost benefit analysis fails to even consider the issue of [the] benefits of training more Māori or Pasifika doctors — perhaps because [Waikato University] vice-chancellor [Neil] Quigley has reportedly ruled out a programme like [Māori and Pacific Admission Scheme] to boost Māori and Pasifika doctors and the government has failed to make that a condition of this handout." Dunedin MP Rachel Brooking said the Waikato medical school was pitched to the National Party as a "present" to them when in office. "Decisions about the future of New Zealand's medical workforce should be made on more robust grounds," she said. "It's important we take the time to analyse the business case before commenting, which we will do in due course." Taieri MP Ingrid Leary said she was not surprised information was redacted from the business case. "I've got numerous official information documents that are heavily redacted and I'm concerned but not surprised that this remains the pattern [of the government]." She said she felt it had been shown the new medical school was "effectively a done deal" well before the public announcement, due to the government's coalition agreements. "The timing of the release of critical documents on a significant issue is deeply cynical and, along with the heavy redactions, makes me wonder what the National government is trying to hide?"
NZ Herald
18 hours ago
- NZ Herald
National MPs on how Kiwis will react to board members' pay hike, cost of living struggles
National Party MPs believe an 80% hike to the pay framework for certain Crown board members is appropriate to lure the right talent, but some are also acknowledging Kiwis facing cost of living issues may struggle with the idea. The increase, revealed by the Herald yesterday following the quiet
