More than 1200 Auckland home support workers' jobs at risk after Health NZ decision

More than 1200 home support workers in Auckland face job losses after Health NZ decided not to renew contracts with three long-standing non-profit providers. The affected organizations, Presbyterian Support Northern (PSN), Visionwest, and Lifewise, are responsible for delivering essential care services to thousands of residents. The move has sparked concern among employees and clients alike, with PSN’s chief executive describing the decision as “sudden and unjustified.” The decision comes amid a broader restructuring effort by Health NZ to procure home and community support services in the northern region. According to PSN’s CEO, Shaun Greaves, the organization received no prior warnings or feedback indicating issues with its performance. He stated that PSN, along with Visionwest and Lifewise, had consistently met standards related to sustainability, quality of care, and client satisfaction. “We do not understand this decision at all,” Greaves said during an interview with Checkpoint. He described the announcement as a “shock” to both staff and management. PSN employs approximately 4500 clients through its Enliven service, many of whom have relied on the organization for extended periods. Greaves expressed particular concern about the impact on vulnerable individuals who depend on these services to maintain independence in their homes. The loss of the contracts represents a major financial setback for the affected organizations. For example, PSN’s Enliven service alone had a contract valued at $19 million annually. Greaves noted that the decision had left the organization scrambling to plan for the future, particularly given the tight deadline set by Health NZ for transitioning services by March. However, the identity of potential replacement providers remains unclear, complicating efforts to manage the transition effectively. Health NZ confirmed that a procurement process was ongoing for home and community support services in the northern region. Proposals were evaluated based on several factors, including the ability to provide sustainable, high-quality care and meet the needs of individuals requiring assistance to live independently. While the agency declined to discuss specific evaluations or proposals, it acknowledged that some established providers had not secured contracts and recognized their disappointment. Greaves emphasized that PSN had raised concerns about the evaluation criteria used by Health NZ. He argued that the process failed to consider key aspects such as the length of service, quality of care, organizational experience, and the unique value proposition offered by not-for-profit entities. These factors, he claimed, contributed significantly to the success of PSN’s programs and the trust built within local communities. Despite the challenges posed by the decision, Health NZ reiterated its commitment to supporting providers through the transition period. Officials indicated that discussions were ongoing to ensure continuity of care for affected clients while identifying suitable replacements for the lost contracts. However, the uncertainty surrounding the selection of new providers has created additional pressure on existing organizations to prepare for possible disruptions in service delivery. The situation highlights the complexities involved in managing public health services, especially in regions with high demand for home-based care. As the deadline approaches, stakeholders remain focused on finding solutions that minimize disruption for both workers and clients. The outcome of the procurement process will likely shape the future landscape of home support services in Auckland for years to come.