Responding to a changing funding environment

Phil Novis
Phil Novis, one of our postdoc staff, working on algae.
Image - Heather Rhodes, University of Otago

Changes in client funding priorities and competitive bidding processes (highlighted in the Chief Executive’s review) affect the science capabilities we need now, and our ability to maintain capabilities into the future. The changes also produce a climate where staff are increasingly concerned about job security. Responding to these changes can be a complex and difficult issue for organisations like Manaaki Whenua.

We try to anticipate and prepare for change in priorities for public good research funding and have been successful in recent years in maintaining overall funding levels. However, there has been no adjustment for infl ation and increased costs in FRST programmes, some of which have had long-term funding for six years, so the real value of funding in these programmes has decreased significantly. As a consequence of this devaluation and changes in FRST priorities for biosecurity research, the number of staff working on mammal pest issues, for example, has decreased from 55 in 2000/01 to about 43 in 2004/05.

Staff turnover
Graph - staff turnover

We have always endeavoured to provide staff whose research funding has been significantly reduced through external funding processes with alternative work in other science areas or help in seeking alternative sources of funding. But, irrespective of our eff orts, some redundancies have been unavoidable. Over the last three years, five science staff (one this year) were made redundant as the direct result of signicant shifts in funding, and another three (one this year) as a result of more gradual changes in research priorities. We will continually strive to do all we can to avoid further redundancies.

Our concerns for ensuring the continuation of essential science capabilities in New Zealand have been echoed by the Government in its setting up of the Capability Fund. This fund has enabled us to earmark over $3 million in 2005/06 for specific individual and organisational capability maintenance and development.

One way to address the uncertain nature of science funding is by off ering short-term employment. As with other institutes, we off er a number of short-term contracts including postdoctoral fellowships. However we try to provide open-term positions as much as possible as these are more secure for staff and help build our science future. Of the 67 scientists recruited in the five-year period 1998–2003, 50% were recruited straight to open-term employment. An additional 30 scientists were employed on a specific short-term reinvestment programme. Of all staff recruited to fixed-term positions, including those on the reinvestment programme, half were subsequently moved to open-term positions. This is a statistic we feel proud of.

From 1998–2003, 50% of fixed-term staff transferred to open-term employment.

Science salaries

Another significant challenge to attracting the capability we need is one we raised in our report last year—science salaries in New Zealand are low compared with overseas and with other professions within New Zealand.

Market relativity - base salary Market relativity - total remuneration
Base salary graph Total remuneration graph

Manaaki Whenua pays salaries that are higher than science sector medians. We also continue to make progress towards equity with other professions in New Zealand although the total remuneration package for scientists is still up to 10% below the general market. We remain committed to further reducing this gap. However we are still faced with international salaries that are generally much greater than New Zealand salaries.

The charts above show our continued progress towards equity with other profession in New Zealand. We still remain adrift by some 10% at total remuneration measures for scientists. We are committed to working to reduce this gap as our finances permit. As we explain under the Employer of Choice section, we provide a variety of benefits to help attract staff .

Attracting overseas scientists

Despite the salary differences we are still able to attract top scientists from around the world. This year, about 60% of the 15 scientists that we recruited have overseas origins, principally Europe and the UK. These staff bring the skills we need, strengthen networks with overseas research institutions and universities, and add welcome diversity to our workplace.

Country of origin of postgrad scientists recruited this year

Country of origin of postgrad scientists employed at 30 June 2005

Graph - country of origin of postgrad scientists recruited this year Graph - country of origin of postgrad scientists employed at 30 June 2005

Our benefits for staff go well beyond those required by law or industry standards.


Annual Report 2004/05