Written By:
- Date published:
8:00 pm, March 16th, 2026 - 25 comments
Categories: disability, health, workers' rights -
Tags: home support workers, MoH, msd, psa
PSA press release via Scoop, Monday, 16 March 2026, 3:40 pm
The PSA is urging Finance Minister Nicola Willis to walk the talk and deliver support for a key group of hard working New Zealanders struggling with rising fuel costs from the Iran war – 23,000 home support workers.
The Finance Minister today said the Government was considering targeted, timely and temporary options for low income New Zealanders facing increased fuel costs triggered by the Iran war.
“There are 23,000 home support workers on low wages who look after our most vulnerable people – the elderly, disabled and injured – every single day who need help urgently, right now. They deserve better than being left to foot the bill,” said Fleur Fitzsimons, National Secretary for the Public Service Association Te Pūkenga Here Tikanga Mahi.
Workers like Pam McLaren from Blenheim are feeling the squeeze on her budget as petrol prices rise. “I’ve done the calculations, it’s going to cost me $75.66 more per week to run my vehicle. I don’t know where that money’s meant to come from. It’s ending up costing a lot to go to work, and it’s not like I can ride a bike between clients, the distance is too far.”
Fleur Fitzsimons: “If the Government is serious about relieving cost of living pressures in a targeted way, then it must follow through on today’s promise and make it a priority to compensate them for rising fuel bills. It’s the right thing to do.”
Home support workers drive their own cars between clients, caring for the elderly, disabled and injured every day, but are being reimbursed at just 63.5 cents per kilometre, well below the IRD rate, and less than half of the travel costs they face.
“These workers were already being undercompensated before the fuel crisis. They are also disadvantaged by the Government’s scrapping of a pay equity pay rise last year. They cannot afford to subsidise the cost of delivering essential government-funded services.”
Travel costs for home support workers are governed by the In Between Travel Settlement Act, introduced under a National-led Government in 2015. There have been only two increases to the mileage rate in a decade, the last one was four years ago.
“It’s well past time for an urgent review,” said Fleur Fitzsimons.
“Funding for home support already flows through MSD and the Ministry of Health. An increase to the mileage rate can be delivered quickly and efficiently through existing channels. There is no excuse for delay.”
The PSA will be raising this issue urgently with the Government.
Note:
The Public Service Association Te Pūkenga Here Tikanga Mahi is Aotearoa New Zealand’s largest trade union, representing and supporting more than 95,000 workers across central government, state-owned enterprises, local councils, health boards and community groups.
Why the hell aren't they on the IRD rate? All that covers is the cost of running your own vehicle at absolute best. The PSA needs to pull it's finger out for the next pay round.
It's been a bit better since Fleur Fitzsimons took over. Before then the PSA was working for the government.
Sir Brian Roche is working for the Coalition Government. Enough said.
Sure, but at least we're seeing the PSA finally showing signs that it may actually be a union after all.
I think this is an example of action-reaction with increased pressure on the Public Service from the Coalition generating increased counter-pressure and resistance from the PSA, for example. However, I think there’s an increased risk of polarisation and less good faith negotiating, without necessarily pointing fingers or blaming any party.
This is what unions are supposed to do.
https://www.rnz.co.nz/news/national/591174/government-backs-down-from-work-from-home-policy-day-before-court-hearing-psa
QED
What's the alternative?
My apologies, I replied from the back-end of TS and thought you were replying to another comment of mine (https://thestandard.nz/open-mike-31-03-2026/#comment-2059330).
For the record, I agree with you.
It’s in the OP:
Do you know what the IRD rate is?
Think its around 95c a km atm. Been a little while but my employer pays staff at the ird rate if they ever use their own vehicle to travel between contruction sites.
That would have been 2022/23 and it’s increased somewhat and depends on the type of vehicle.
https://www.ird.govt.nz/income-tax/income-tax-for-businesses-and-organisations/types-of-business-expenses/claiming-vehicle-expenses/kilometre-rates-2024-2025
$1.17/km now.
https://www.ird.govt.nz/income-tax/income-tax-for-businesses-and-organisations/types-of-business-expenses/claiming-vehicle-expenses/kilometre-rates-2024-2025
The IRD rate is $1.17/km for the first 3,500km (business portion of 14,000km is 25% = 3,500km) then after that depends on the type of vehicle but is a lot lower. Many support workers drive a lot more than that in which case the legislated rate will not necessarily be worse than the IRD rules, and it's simpler than keeping a logbook of all personal use as well.
The legislated rate needs to be significantly higher, but moving to IRD rates and rules is not automatically a no-brainer.
Maybe the worker should be able to choose.
With union guidance about their best option.
Including supply of a car, if the work level use is high.
Oh sure 23,000 home support workers.
Add them to the 1 in 3 New Zealanders who have food insecurity, 50,000 homeless, and massive escalating poverty, 165,000 unemployed – all of which are rising.
What New Zealand needs is a big solid increase in welfare benefits.
it's a really hard one. In March 2020 when the Labour/NZF government were offering financial support to various New Zealanders and businesses, beneficiaries got nothing. In the lead up to the first lock down, people with no money were somehow expected to buy masks, hand sanitiser, medicines and extra food. Including some of the people most vulnerable to infection, illness and death.
I think the solution here has to be within the left parties at the member level to push changes in ethos that will be backed up by policies and eventually implemented in government.
…and for unions to take the mantle on behalf of the reserve army of labour…
These are separate issues.
The workers simply want to be treated fairly and equitably.
426,000 New Zealanders are on a main benefit, which is about the entire population of Christchurch.
That's who needs help, not sanctions and clawbacks.
Small problem of the majority of voters not wanting this to happen, since they keep voting for parties who prefer the status quo (including Labour).
You have to remember, in the NZ pecking order, beneficiaries are only one step above prisoners and are unworthy.
Let's remove this government in 8 months time.
Getting all of that 400,000 voting bock actually voting would completely change the makeup of parliament. So how do we do that?
"You have to remember, in the NZ pecking order, beneficiaries are only one step above prisoners and are unworthy."
Yes, and is a group that nobody's really giving any help to, apart from perhaps the handful of volunteer-based beneficiary advocacy groups that see only a fraction of people needing help – certainly close to, if not zero systemic advocacy for this group.
The word is spreading.
https://www.rnz.co.nz/news/national/589857/union-calls-for-government-to-offer-targeted-financial-aid-to-home-support-workers