Andersen GinnyVIRGINIA ANDERSEN (Labour): Tēnā koe e Te Māngai tēnā koe e Te Whare nei. Thank you for the opportunity for speaking as the last speaker in this third and final reading of the State Sector and Crown Entities Reform Bill. Crown entities as we've heard form a vital part of the Public Service as part of the State sector as they are the public face. It's very important that we have consistency and transparency across the whole of the State sector and in that it's very important that we make sure that there is alignment and that they are connected. Those core values are the things that connect the parts of the State sector and an integral part of that is the service to community.There's been a bit of drift I would like to note in the past that's disconnected parts of the State sector from each other and in the past there's been drift particularly with regard to remuneration of chief executives. In the past we've seen increases in salaries from $20000 to $50000 per annum. In particular the one that is of memory was the 36 percent increase to the chief executive of the New Zealand Superannuation Fund and I do rightly remember that even Bill English himself thought that that was a bit too much. So changes in this bill strengthen the role of the State Services Commissioner and will bring increased public trust and confidence that there is a good level of transparency within the Public Service.The main area that was really discussed through the select committee process revolved around this issue around the role of the chief executive and the remuneration. While the bill also includes the appointment of five-year terms instead of those terms being unlimited it also looks at the standards and the integrity on conduct for Crown entity board members which is important and it also looks at the State Services Commissioner's powers to investigate. All those areas are strengthened.But the part of the debate that I would like to spend the remainder on really is looking at that discussion around getting that balance right between having the right person to lead a key organisation within the Government but also that those pay levels are not excessive as they have been in the past. This Government has been very clear on the fact that we want to see a narrowing of the gap between those who are paid the minimum wage and those that are paid the highest rates and so if this Government is going to walk the talk in terms of delivering that it's important that we not only raise the minimum wage but we also look at those top-level pay levels. A core value again is that service to the community.We are proud of our Public Service for the excellent job they do and as a former public servant it's been interesting to see under the previous Government the role of contractors. That's actually quite a good example to look at how you get that balance right. At a time when we saw the sinking lid on public servants and an increase in contractors being brought in to deliver Government services and provide advice the cost per hour shot through the roof so that the cost per hour to employ a contractor is far in excess of what you would pay a salaried person. That has an impact upon a team. Bringing that in has an impact on the way that the Public Service operates. It also has a detrimental effect in terms of the institutional knowledge that is retained within a Government department or a Crown entity for that reason that if people are brought in quickly for specialised knowledge and then leave again it stops that entity from being able to develop a strong understanding and an institutional knowledge that is retained.Finally I would like to say that one of those negative factors that I've seen of those short-term contracts is that it doesn't enable the Public Service to work as a team. If someone comes in at a much higher rate for a short period of time and then leaves it prevents the best advice been delivered in a team environment.So I think it's important for this bill to be acknowledged for the good work that it does in being able to draw together our Public Service and strengthen it by ensuring there's increased transparency and by ensuring that we have a stronger connection in those core values—and that is to serve the community; that is to be always there to provide the best quality advice for this Government to do its work and for select committees to continue to do the good work they do.So I would like to acknowledge that we have an excellent Public Service in New Zealand and I am proud to commend this bill to the House for the fact that it will strengthen that excellent job that already goes on. Thank you Mr Assistant Speaker.Bill read a third time.