19 Nov 2011

Defence Force pays out $5.2 million in redundancy

2:38 pm on 19 November 2011

The New Zealand Defence Force has paid $5.2 million in redundancy to personnel as a result of turning military positions into civilian jobs.

Defence conducted its first round of job cuts this year in an attempt to save about $23 million.

Radio New Zealand's defence reporter says 304 personnel were advised they would be discharged and some of those roles would be done by civllians.

Of these, 155 reapplied for a civilian role while 147 personnel chose to take redundancy.

On average, a military employee costs nearly $21,000 more per annum than a civilian.

Defence says the process has saved $16.6 million so far.

The second round of the process begins early next year.