Senior hospital doctors and district health board have signed a deal designed to give the doctors a greater say in the running of the health system.
DHB chiefs from around New Zealand attended the signing of the agreement in Wellington.
Radio New Zealand's health reporter says it is intended to bridge a divide between DHB managers and senior hospital doctors.
Health Minister David Cunliffe said the work that went into the agreement represented a breakthrough in relations between them.
He said it will provide a platform from which to address other challenges in the health sector.