PM Luxon’s delivery unit not just about the public service
Tuesday, 14 May 2024
Prime Minister Christopher Luxon’s new “delivery unit” is not just designed to monitor the public sector’s performance, but also his own Cabinet ministers.
Briefings to Luxon, obtained under the Official Information Act, show how the new unit is expected to help the Government hit nine targets across health, education, crime, welfare, and climate, that were announced last month.
At the same time as creating the delivery unit, Luxon also decided to move former prime minister Jacinda Ardern’s child poverty unit from the Department of Prime Minister and Cabinet (DPMC) to the Ministry of Social Development (MSD), where the issue is overseen by Minister Louise Upston.
The reshaping of DPMC, which reports directly to the prime minister and provides oversight of the public service and policy areas such as national security, is reflective of Luxon’s interests.
Since entering Government, the former Air New Zealand chief executive has made no secret of bringing a CEO-style approach to running the Beehive. Already he has demoted two ministers for not sufficiently dealing with issues: Melissa Lee had the media and communication portfolio taken from her, and Penny Simmonds lost disability issues.
Officials anticipated Luxon’s focus on “outcomes”, beginning policy work on a delivery unit including meeting consultancy group Delivery Associates, as early as November and before the Government was sworn in. The delivery unit concept originated in UK Prime Minister Tony Blair’s government and in the world of management consultancy has become known as “deliverology”.
A March briefing document shows, after months of policy work on the creation of a delivery unit and targets, Luxon had decided on a “smaller” unit of six staff — approximately the size of the Labour government’s “implementation unit” which it replaced.
Meeting targets would be the responsibility of a Cabinet minister and department chief executive — such as Health Minister Dr Shane Reti and Director-General of Health Dr Diana Sarfati for meeting targets on reducing emergency departments and elective surgery wait times.
The agencies responsible for targets would have until the end of June to produce “delivery plans”, to be approved by their minister. The delivery unit will then brief Luxon on whether the plans are sufficient.
Ministers will then provide quarterly reports on the target to the Cabinet Strategy Committee, which is made up of Luxon and 15 high-ranking ministers — the first being due at July’s end.
The delivery unit would provide “independent commentary” alongside this about whether the target is being reached — and immediate advice directly to Luxon if targets are not tracking well.
If a target is “high-risk”, Luxon will hold quarterly “performance meetings” with the minister responsible. If the target is tracking well, the meetings will be held every six months.
The briefing noted that as Luxon had chosen a smaller delivery unit, it had limited capacity to complete “deep dives” into specific targets.
Unmentioned when Luxon announced the Government’s targets in April was the decision, made at the same time, to relocated the Child Wellbeing and Poverty Reduction Group from DPMC to MSD.
A report provided to Luxon, Upston, and Finance Minister Nicola Willis shows officials considered there “good rationale” to move the 11-person team, and $2.1 million annual funding, for the child poverty unit into MSD, which already worked on child poverty issues.
Child poverty was a hallmark issue for Prime Minister Jacinda Ardern, who created the unit and legislative framework for monitoring child poverty, and held the portfolio while prime minister.
Upston had an “ambitious work programme” as minister for child poverty, the report said, including considerable work to make progress on child poverty targets, and refreshing the Child and Youth Wellbeing strategy as an “investment framework”.
Nine targets to be completed by 2030:
95% of patients to be admitted, discharged, or transferred from an emergency department within six hours.
95% of people wait less than four months for elective treatment.
15% reduction in the total number of children and young people with serious and persistent offending behaviour.
20,000 fewer people who are victims of an assault, robbery, or sexual assault.
50,000 fewer people on Jobseeker Support Benefit.
80% of students present for more than 90% of the term.
80% of Year 8 students at or above the expected curriculum level for their age in reading, writing and maths by December 2030.
75% reduction of households in emergency housing.
On track to meet New Zealand’s 2050 net zero climate change targets, with total net emissions of no more than 290 megatonnes from 2022 to 2025 and 305 megatonnes from 2026 to 2030.