MFAT restructuring
Stuff reports:
The Ministry of Foreign Affairs and Trade (MFAT) has confirmed it is cutting around 300 staff as Finance Minister Bill English says it’s crunch time for the public sector.
MFAT’s chief executive John Allen this afternoon said it would be cutting 305 staff.
My sympathies go out to those affected. It is never nice to go through such a major restructuring. However in my experience MFAT staff are very capable and competent, and the majority will find good opportunities elsewhere.
The news came as English said Kiwis were about to see the public service change.
English said the Government had last year told public sector chief executives to look at their own operations and ”tell us how they could be improved to deliver better services with little or no new money”.
The reality is that we are borrowing money to fund the Government, and this is not sustainable. There is a path back to surplus, but it can only be achieved by restraining Government spending. The alternative is to go down the path that Greece did, or to try the failed policies of tax more and spend more.
Allen said 600 MFAT staff would have to reapply for their jobs in new specialist roles. The ministry has 1340 staff, half of which are offshore
That is a huge restructure.
He also confirmed changes to remuneration including offshore allowances. Staff would be asked to make a “nominal contribution” to their living costs overseas.
They should not end up out of pocket for being posted overseas. But if for example it is calculated they are saving say $200 a week in living costs by not being in NZ, then that could be the basis of a contribution. It shouldn’t be based on what their actual overseas expenses are at that punishes those sent to expensive cities.
Allen said the proposals created more flexibility, deepened expertise, and ensured appropriate representation – including non-resident ambassadors and smaller posts.
He confirmed they were also considering outsourcing some functions. That included a 24/7 call centre based in Wellington.
That’s quite a good idea. Rather than have each Embassy have a call centre, you have one global number for travellers in need of assistance?
The restructuring was expected to save $20-25m annually.
Excellent.
February 23rd, 2012 at 3:22 pm
“However in my experience MFAT staff are very capable and competent, and the majority will find good opportunities elsewhere.”
Yes indeed. My local petrol station needs a pump attendant, perhaps a former MFAT bureaucrat-in-chief will be able to do something productive there for the first time in his tit-sucking life.
I have dealt with MFAT when I lost my passport in South America and they were fucking terrible.
February 23rd, 2012 at 3:29 pm
“The reality is that we are borrowing money to fund the Government, and this is not sustainable.”
Of course it isn’t. But we can afford tax cuts for the rich. Isn’t life great!
[DPF: Umm Ross, it was Labour not National promising tax cuts at the last election. National responsibly said that tax cuts are not affordable until the books are back in surplus]
February 23rd, 2012 at 3:34 pm
What? Restraining government spending is going down the path that Greece did. What do you think “austerity” means?
Yeah, Australia tried to spend their way out of the GFC with a so-called “economic stimulus” plan, and just look at the position they’re in now.
February 23rd, 2012 at 3:36 pm
Umm I call shenanigans:
“or to try the failed policies of tax more and spend more.”
that’s not dissimilar to what’s happened in the US – which is in a lot better shape than most of Europe where they’ve gone down the slash and cut path…
February 23rd, 2012 at 3:44 pm
The reality Daigotsu is if something happens overseas having a credit card, cash, the number of a local lawyer and health insurance is required. Not the number of MFAT. In reality they can do sweet fuck all for you hence there’s no real need for so many postings. I don’t think it’s because they are useless, it is the powers they have and they have next to none.
As a professional expat I make more than a “nominal contribution” to my living costs. I would expect MFAT staff to be doing likewise. The days of living high on the hog of the NZ taxpayer is over. Some examples of their excess over the years that I have seen in my travels even makes me blush.
February 23rd, 2012 at 4:00 pm
As far as I know Kate local lawyers can’t issue NZ passports, so yes it was MFAT’s job to help me, and tehy stuffed up
February 23rd, 2012 at 4:05 pm
I guess that Nat’s opinion is you don’t really need people working at MFAT when you do not have an independent foreign policy.
February 23rd, 2012 at 4:06 pm
No Dai you need your credit card for that to fill in the emergency passport document, or if you can’t get one locally you have to courier away to London, Sydney or NZ for it. Then you need your credit card again to stay longer for the wait. Then you need cash to provide the photo. Been there done that. Everyone knows its fucking inconvenient. Try being in the US when it happens and MFAT dont tell you that the US changed the rules about Emergency Travel docs. I could go on.
The point is when you travel you are alone. If MFAT provided an actual service then they should be kept in those countries. If they are just handing you information you can find on the Internet, then it’s a waste of money.
February 23rd, 2012 at 4:09 pm
Don’t presume to know my situation Kate. I didn’t have internet access and in that situation MFAT are supposed to be able to provide you with the forms. They didn’t. They fucked up. I am surprised to see you of all fucking people going to the wall to defend ineffective bureaucrats against the accusations of a hardworking ordinary NZer when they can’t do their bloody job.
February 23rd, 2012 at 4:14 pm
Hi Kate,
>> In reality they can do sweet fuck all for you hence there’s no real need for so many postings.
Yeah, so you’d be talking about the dedicated consular staff there… there aren’t many of those postings. Most times it’s doubled-up with the policy officers, who take turns being on call. Not sure why you say there’s no need for so many postings based on that.
As for living high on the hog… I think those days might had actually gone in the 80s. It certainly is more lucrative being on a posting then working in Wellington – but you’ve got to consider the policy officer’s fairly terrible pay while back home. I think what MFAT is planning to do here is balance out a reduction in pay while on posting with a pay increase in Wellington. Fair enough. Wonder if it will work, or the lure of better pay in the private sector will be too strong?
It’s the reduction of policy officers/diplomats that is the interesting bit. Talking grandly of closing Warsaw and Stockholm will save 2 jobs. Where is MFAT going to cut services to the Government and New Zealand business to cull the other 61?
And Dai – the future is you’ll be calling an 0800 number. I hope the forms can be somehow inserted down the phone for you.
February 23rd, 2012 at 4:25 pm
As one who has been thru more major restructurings in various local and international companies than most people have had hot dinners they are in for interesting times. I worked for the Honda Motor Co in the 80s and 90s when Japan was going thru all that angst and then the Asian crisis. The one thing I learnt as the old Greek guy said The more things change the more they stay the same. I can remember when the 1997 restructure found us back with the same organisation structure as we had in 1989. Noone believed me until I pulled out a carefully folded paper copy of the 1989 chart and there was a big silence.
February 23rd, 2012 at 4:34 pm
True. Labour lite chose to give us more taxes in the form of the dreadful ETS and GST increase.
Long live National, the party of lower taxes. Tui ad.
February 23rd, 2012 at 4:36 pm
Oh Yes and there these the famous “We gotta reduce the head count by 10%” OK Boss not a problem.”
Head count goes down 10%. Contractors costs go up 50%. My daughter was working for Bank of New York Mellon in Edinburgh running a dealing team when the GCF struck. Team was taken out the back and shot. Month later team was back on contract at 50% more rem and bonuses.
The bozos never learn.
February 23rd, 2012 at 4:37 pm
Diagotsu – your lost passport – Embassies and consuls are not really philosophically equipped to deal with this so service standards are variable. A private enterprise international organisation contracted by a bunch of nations and travel insurers would provide travellers in need with a much better service and could justify a ‘presence’ in many more cities than NZ on its own could justify.
February 23rd, 2012 at 4:37 pm
I’m a bit worried about their Maori Policy Unit having to accept cuts, the Waitangi Tribunal might take a dim view of that. Maybe anyone made redundant from the unit could get a job at the Auckland Super City, the level of effort needed would be similar to their former job.
February 23rd, 2012 at 5:27 pm
I have dealt with MFAT when my wife had her passport stolen in Spain and they were – also – fucking terrible.
February 23rd, 2012 at 5:42 pm
After the cuts will MFAT become MSLIM?
February 23rd, 2012 at 5:44 pm
Johnboy, your knack for acronyms is becoming legendary.
February 23rd, 2012 at 5:45 pm
[DPF: Umm Ross, it was Labour not National promising tax cuts at the last election.]
That didn’t take long for you to mention Labour…the fact is that in its first term National cut taxes for the rich despite the growing recession. When is the government going to announce that the economy cannot sustain such a luxury?
February 23rd, 2012 at 5:55 pm
My ache for a good knackeringism is more than legendary Manolo!
February 23rd, 2012 at 6:00 pm
@simonway,
No it isn’t. Greece is having to restrain spending now because of what they had done (which was borrowing and spending beyond the country’s means.)
Restraining government spending in NZ now helps to prevent us ending up in the situation Greece has put itself in [an ounce of prevention being worth more than a pound of cure.]
Actually I think you will gain a much better perspective on that if you consider how Australia would have been placed through the GFC if they didn’t have the mining industry that they do. However your point that they came through it well points to good justification for us to equally look to exploit our mineral wealth!
February 23rd, 2012 at 6:03 pm
All sympathy for the affected staff but no doubt they have talents they can use elsewhere productively. brilliant news National is finally starting to get things done.
February 23rd, 2012 at 6:04 pm
Unlike DPF I have no sympathy for these troughers at all.
Welcome to the real world guys.
February 23rd, 2012 at 6:16 pm
The bozos never learn.
No they don’t, lastmanstanding.
The only tool senior management ever reach for is re-structuring. They’re all one trick ponies. Every single one of them.
Fact is, most organisations could fire every single one of their executive team and most companies would keep running as they were.
Organisational management is both private and govt sectors is so seriously flawed they should be the lowest paid people in it, not the highest.
February 23rd, 2012 at 6:20 pm
That’s about a day’s worth of the borrowing English & Co have been running isn’t it?
Looks like we’ll need to disband the Government of New Zealand altogether if we want to get back into surplus…
[The only place I've read "$300 million per fortnight" has been Kiwiblog, and Don Brash press releases on behalf of Act party...]
February 23rd, 2012 at 6:24 pm
And I reckon deporting/shooting forum user “Manolo” would probably do a bit improve the Government’s books.
Anyone who’s that perpetually negative, is probably sucking a few $million out of the economy just through the sheer bad karma and general black sphere of misery (s)he puts about the place…
Smile Manolo, it makes people wonder what you’ve been up to
February 23rd, 2012 at 6:25 pm
BTW, Checkpoint’s Maori news segment tonight announced that one of the things John Allen established (not dis-established) was a new position of a kamatua for the dept. Seriously. A new kamatua for an organisation undergoing a 600+ position restructure. (Although to be fair many of those people who need to re-apply are doing so due to ceasing staff rotations which according to the employment contracts means those positions fundamentally change so must be re-advertised, so it’s not all Allen’s fault, but really? A new kamatua. What the hell is going on with the govt’s thinking these days that it forces any bureaucrat who wants to be a senior bureaucrat to learn Maori and do shit like this?)
February 23rd, 2012 at 6:33 pm
The murri shit seems to be working its way up the ranks reid. Time on the marae only used to apply to plebes like Nurses, Cops and Tool Screechers.
Every government department needs a kamatua now.
Nice career path for a useless old brown bugger that can chant a bit and has invested in a carved stick.
Might get the tea bags out for a facial and apply myself!
February 23rd, 2012 at 6:35 pm
You should give it a go yourself.
Seem to have plenty of spare time on your hands!
February 23rd, 2012 at 6:40 pm
I think reid is too busy being the kaumatua for Kiwiblog.
February 23rd, 2012 at 6:55 pm
If they were performing a useful service, the market will demand that same service from the private sector, and so an opportunity opens up that they can fill. If there is no market demand for their job to be done, it was never useful and is no loss.
February 23rd, 2012 at 7:01 pm
Daigotsu you were the fool who lost his passport. I’ve had mine stolen. But should have kept it closer to me as short of a mugging it is your own fault, not MFATs. Suck it up and take some responsibility.
If you were somewhere without Internet access then in this day and age, really, travel to places like that and take your own responsibility to know what to do in advance.
Let’s get on to real issues though. Can someone explain what the hell the Maori policy division of MFAT actually did?
February 23rd, 2012 at 7:03 pm
When did Grumpy Old Hori resign the position milky?
February 23rd, 2012 at 7:06 pm
If you come to Wainui Kate I’ll take care of you.
You won’t notice the lack of an MFAT here!
February 23rd, 2012 at 7:11 pm
Advising on protocol re: retrieval of shrunken heads.
A very sensitive business and enormously expensive I suspect!
February 23rd, 2012 at 7:24 pm
Ha we needed more of them heads, johnboy.?
Plenty of shrunken heads around a few of the blogs in this country. already.
February 23rd, 2012 at 7:37 pm
One of the most stressful and humiliating experiences in my life was dealing with a total MFAT bitch in Washington DC about 10 years ago trying to replace a stolen passport. My god did I resent paying tax to put in her pocket. I hope they get rid of every single one of those over entitled AHs.
February 23rd, 2012 at 8:35 pm
Kate you beat me to it in response to daigotsu. If you couldn’t get to the Internet, Dai, how the hell was the embassy supposed to get to you with a new passport?
For what it’s worth as an MFATer I agree that some people do excessively well out of the system. Typically those people have been round since the eighties and have had their kids educated offshore etc etc. The rest of us cannot really be considered troughers by any stretch; you’re not going to believe me of course but I work my bollocks off for about 2/3 of the average POAL stevedore’s salary trying to advance NZ interests in my part of the world. I do it because I enjoy working on behalf of kiwi business and I can say with certainty that my work has contributed to millions of dollars of additional revenue for them. Sorry I can’t offer any proof but what with having to reapply for a job and all, my relative anonymity is quite important to me right now!
Also it’s important to note that you need far more than people engaged in trade work to do trade work effectively. Think we would have got the China FTA without an in depth understanding of Chinese politics and culture? My feeling is that overall the changes proposed endanger our ability to reach that understanding globally, and in order to save an amount of money equivalent to a few hours’ worth of the annual social welfare spend…
February 23rd, 2012 at 8:35 pm
Im starting to understand Johnboy keys logic for fixing NZ problems.Its so logical, sack every one in NZ and start from scratch . Hell just read the papers or go online , all the news is whos been made redundant , whose going to be made redundant or another factory has gone to COMMUNIST china ,keys life long mates,SACK SACK SACK, except the crap ruling us, dicks from the past.
PS the new dole bludgers will not very diplomatic i think.
PPS how long before the public service collapses, moral is shit as i understand,its dog eat dog in it.
February 23rd, 2012 at 8:49 pm
…”how long before the public service collapses, moral is shit as i understand”…….
With a little bit of luck it won’t be long now. Then Johnboy & I will offer our services & redesign the behemoth so it runs lean & mean…..the new model will be a “civil” service.
The downside is that half of the office space in Wellington will be empty by the end of March. The good news is that the entire staff of the Dept of Wimmins’ Affairs (amongst others) will be available & looking for meaningful work when apple picking season starts.
February 23rd, 2012 at 9:08 pm
OMG. a bunch of mfat policy analysts and b.crats will be cut loose, what a shame.not.
February 23rd, 2012 at 9:26 pm
nasska, johnboys eyes could come in your general direction, and after redundancy,you might get a job dunny cleaning,opps thats a new growth industry, lots of apps and you might be over qualified,sorry
February 23rd, 2012 at 9:36 pm
Sorry to disappoint you plebe but Johnboy & I own & operate our own businesses.
The offer of a couple of weeks of our time to sack thousands of nasty, officious little jobsworths & redesign our Government Departments was pure altruism on our part. You wouldn’t even have to pay us for the work.
February 23rd, 2012 at 9:37 pm
It was useful in Stockholm after my wife was bag snatched at our hotel check-in to have the embassy available to smooth the way with a new passport. 36hs Stockholm-London-Stockholm via DHL, correct docs sent and passport back with DDI to passport office in London to confirm arrival and departure of documents. Magnificent service. Snatch done by professional Algerians. All on CCTV .
February 23rd, 2012 at 9:40 pm
plebe has it occurred to you that if your beloved Hulun hadn’t increased the public service by 30% with NO corresponding increase in productivity, which she did simply to spend OPM on garnering Liarbore more votes, not because she thought it was a good idea nor because she gave a flying fuck about any of those civil servants as people but simply as a cynical vote-gathering ploy, that this reduction now would not be necessary?
Furthermore she did a lot of other stuff for the same purpose too, like WFF to the wealthy and interest free student loans, all OPM, all to gather votes, which are sending the country down the crapper too.
Yet people like you would be the first to scream like a schoolgirl if Key had the guts to say those two albatrosses are going as well, for that’s what they are and that’s what they’ve always been. Albatrosses, of no benefit to anyone except to Hulun when she was here. And the more they are left alone the more they become albatrosses for if National doesn’t reverse them then next time the electorate just thinks they’re part of the background noise and no-one will give politicians credit for them but they sure as hell would care if a politician did the right thing and reversed them which they should do, but they won’t. So just like the anti-nuke thing it becomes a massive, massive burden on this whole country, thanks to Hulun’s naked ambition and useful idiots like you who don’t understand economic calculations.
February 23rd, 2012 at 10:01 pm
No doubt CK has been involved in writing the reports on the legal aspects of restructuring. And she knows what a great earner it is. You tell the slobs what they want to hear and how they can avoid their legal obligations but forget about the ethical and moral obligations ( all lawyers undergo an ethical and moral bypass upon joining the Bar or their respective Law Societies. Those who dont join the Bar or their Society have already undergone the bypass).
Never mind the chaos and wreakage these restructurings bring. As long as YOU survive. Over the past 35 years I have been witness to the base behaviour of humans seeking to have the other guy culled instead of them. It has just stopped short of the jungle ripping the opponent to pieces.
And thats why even though I have voted National I believe in my heart that John Key along with Helen Clark et al are capable of bringing the country to the point that the worst( we are not allowed to write their names ) of recent history if they thought it would be victory to them.
All so called leaders have the capacity to do the worst. It is only the citizerns who stand between them. Think of the events of the past 12 months and the Arab Spring. We are just a heartbeat away from having leaders like that.
We must never ever say’ But it couldnt happen here” And to bring the wrath of those sensitive souls down on me thats what the people of Germany said as late as 1938.
February 23rd, 2012 at 10:01 pm
lol, ‘john’ with 7 posts is obviously ‘not’ a liabore.mfat.psa plant.
February 23rd, 2012 at 10:06 pm
One of the most entertaining Blogs I have read in a while, plenty of humour, how do we get these jobs chanting and waving the stick Johnboy sounds like a good lark.
February 23rd, 2012 at 11:59 pm
john 9:37pm.
How do you know they were Algerians ??..
Professional ??..
Doctors.. Lawyers.. Architects. Engineers.. ???
February 24th, 2012 at 6:49 am
It always surprises me to see the number of people who talk about Greece as though the austerity measures were what put them into such a difficult position. Anyone who knows anything whatsoever about it knows that they suffered from something similar to what we had under Muldoon and latterly under Labour – a government that tried to pay its people more than they could afford.
Nice to see National finally doing something about this, still tiny steps, but a great start.
February 24th, 2012 at 7:54 am
Adam2314–Algerian because of $200 worth of phone calls back to Algeria within 15 minutes of the snatch. Algerian due to the knowedge of the gang working in the city at the time by the Police. Professional by way of their occupation .
Expat– While I do not post often and use my first name I am a card carrying Nat, farmer and well involved in the electorate of the second highest polling Nat MP and now minister.
February 24th, 2012 at 9:01 am
Oh ? Just thought you all might want to consider that we are a trading nation. In terms of bloody silly ideas this is right up there. The cost savings will be negligible and the damage that we risk to our international trade not to mention influence could be immense. I assume it will go down well with the Greens though.
February 24th, 2012 at 9:12 am
Kate, my understanding is the Maori policy division were there to teach the rest of MFAT how to represent Maori overseas (to inflict a bit of culture on what is basically a white boy’s department). So any time you saw anything Maori in a High Commission or Embassy, or New Zealand being presented as something that’s not whitebread and dull, it’s likely the Maori policy devision had advised on it. Whatever you think of Maori (am referring to some of the folks above me here in the comments), it provides a great point of difference when representing NZ overseas – for a start it stops everyone mistaking us for Aussies or English.
They’re also responsible for connecting MFAT with Iwi in New Zealand.
I think the ‘division’ is basically one guy. Who I assume will shortly be the kaumatua. So this again won’t save much bucks.
February 24th, 2012 at 9:21 am
The concept of a help line if your child is sitting in a foreign jail is going to be very encouraging, especially if it run like any number of the current government help lines are currently. Stellar idea, fucking brilliant.
February 24th, 2012 at 9:37 am
I read somewhere that there was a big expansion of these missions in the Asia Pacific, presumably under Bolgers’ government in the ’90′s.
The main result was a big increase in immigration from places like China and Korea.
I don’t want my taxes spent on opening consulates in every country in the world where a dick head can potentially be arrested.
We should have an arrangemnt with the Brits and Aussies to share consular facilities. Another reason for closer ties with the other English speaking nations of the Commonwealth. Long Live the queen.
February 24th, 2012 at 2:34 pm
The passport issue is a silly distraction – that element of MFAT’s work is practically negligible and Cactus Kate is right about the logistics. I have worked for MFAT and, in the private sector, with MFAT. There are some brilliant, wonderful, loyal and creative people. Equally, there are people resisting change “because we’ve always done it this way.” Some with a perception that our elected representatives should be “Yes Ministered” because they surely cannot grasp the subtlties of policy. A ‘poor us’ attitude from people who couldn’t conceive of the pressure and insecurity associated with working in the private sector during a global financial crisis. There are those who don’t leave because nowhere else would have them and they stangle younger or older talent while they wait out the next opportunity to rent our their house and collect allowances overseas. With some admirable exceptions promotions have always been nepotistic and subjective. There are not all that many great jobs but a lot a bureaucratic ‘box-ticking’ jobs which, if they fell off the face of the earth, would not be missed by anyone except those doing them. There is fierce and time-wasting internal competition for ‘live issues’ which gets in the way of action. Pervading most consultation with business is is slightly smug superiority which makes a lot of contact look – as indeed it is structured to be – like a box-ticking exercise. Everyone knows it but few will openly say that posting (sometimes very average) support staff at huge cost to the taxpayer makes no sense when you could get a more responsive ex-pat at a fraction of the cost. And I don’t buy the ‘security’ argument as it’s completely anachronistic. I believe that if past MFAT CEOs had been more receptive to change, more willing to re-evaluate the diplomatic model from an NZ added value perspective, more immediately responsive to incoming governments, and more aware of the disconnect between bureaucracy and business then MFAT would not be in this position. Do we really need to know who might win an election overseas when if we waited 24 hours we’d know? The world is changing and MFAT has not changed enough. The most competant people at MFAT deserve to advance whatever their age, race or gender and they must be paid well. The most important issues should be put up in lights and the money/time/effort wasting ones dumped. Focus placed on the areas of the globe that matter – not where Helen might have had designed on collecting a prize. The dead wood should be cut out and new growth encouraged. And then we can put the “service” back into Foreign Service.