Health NZ, PSA agree deal after negotiations, strikes

Photo: Getty Images
Photo: Getty Images
After months of negotiating and strike action, Health New Zealand and the union for allied health workers have reached a deal.

The Public Service Association (PSA) said its more than 12,000 members - including physiotherapists, anaesthetic technicians, and social workers - voted overwhelmingly to accept the union-backed offer.

The new collective agreement included a pay increase of 2.5 percent from December 2025 and a further 2 percent from December this year, in addition to a $500 lump sum payment.

Health NZ said it welcomed the successful ratification.

Executive national director for people and culture Robyn Shearer said around 12,300 employees would benefit from the pay increase.

She said the agreement recognised the effort and hard work of Allied, Public Health, Scientific and Technical staff, who operated across the health system.

"We acknowledge and thank the PSA for their constructive approach to reaching a settlement."

The union said there was also a commitment to a new pay scale for sterile sciences technicians (who work with medical devices in operating theatres and wards), to improve safe staffing and set up a $400,000 national professional development fund.

PSA national secretary Fleur Fitzsimons said while the union didn't get everything it asked for, it accepted it was the the best offer it could get for now.

She put the result down to industrial action.

"These workers went on strike during the Mega Strike on 23 October 2025 as well as a further strike late last year and their actions have made a difference.

"This outcome after seven months of bargaining shows what workers can achieve when they stand together."

Fitzsimons said allied health workers delivered essential care to New Zealanders every day and the settlement was recognition of their contribution.

She said voting was now underway for two other collectives that covered more than 4000 members including mental health and public health nurses.

Health Minister Simeon Brown said he was pleased for the thousands of healthcare workers who would get a pay rise under the new deal.

He said they played a critical role in patient care and the settlement acknowledged that important work.

"This ratification follows the recent approval of collective agreements for APEX Pharmacy and APEX Psychologists members, continuing progress on workforce settlements across the health sector.

"I want to acknowledge Health New Zealand and the unions for their work as these agreements are reached."