MIL Email Publisher (NZ)

Australians are paying more for cover. But the funding flowing to patient care is not keeping pace with the real cost of delivering surgery.

Over the past three years, more than 400,000 Australians have downgraded from top-tier (“gold”) hospital cover to lower levels of insurance. Many policies now come with exclusions, meaning patients discover they are not fully covered when they need treatment.

“Bronze”, “silver” and “gold” labels hide huge differences in exclusions, excesses and clinical coverage, meaning two people on the same tier can face wildly different bills. Australians need real transparency and standardisation so consumers can compare value and know what they’re actually paying for before they need surgery.

At the same time, insurers are returning a smaller share of premiums directly to care than in previous years. Industry data shows benefits paid as a proportion of premiums are sitting in the mid-80% range – down from around 88% historically.

RACS welcomes legislation introduced this week that would ban “product phoenixing” – a practice used by some private health insurers to rebrand or replace policies in ways that drive up premiums without delivering additional value to consumers. But wider reform is needed.

RACS believes Australians deserve stronger guarantees that the vast majority of every premium dollar goes to patient care.

Surgeons are also dealing with a system where:

Medicare rebates have not kept pace with inflation for decades.
private health insurers pay different benefit amounts for the same procedure, sometimes differing by hundreds of dollars. Surgeons are forced to work across dozens of varying fee schedules to reduce patient gaps.
no-gap payments have failed to keep up with rising healthcare costs for decades.

When Medicare and private insurance benefits fall behind the real cost of operating theatres, staff, equipment and compliance, the shortfall does not vanish. It is either absorbed by hospitals and doctors or passed on to patients. This funding gap is the key driver behind rising out-of-pocket costs. RACS recognises the need to improve the affordability of specialist care. At the same time, we understand many surgeons are already prioritising their patients' needs at personal financial cost and are struggling to keep up.

Fee reform is a two-way street

If government expects fee restraint, then Medicare must be properly indexed and insurers must ensure a higher proportion of premiums go directly to clinical care. RACS supports a minimum 90% payout ratio so Australians can be confident their premiums are funding treatment, not overhead.

Transparency measures such as the Australian Government's mandatory Medical Costs Finder system can help patients understand fees. But transparency alone will not fix an underfunded system.

Private healthcare plays a critical role in keeping pressure off the public hospital system. If private surgery becomes financially unsustainable, waiting lists in the public sector will inevitably grow.

Australia delivers strong surgical outcomes by international standards. That system has been built on high standards and a functioning public–private balance. Rising premiums must translate into real value for patients – not reduced coverage and higher out-of-pocket costs.

RACS stands ready to work with government and insurers to modernise Medicare, improve consistency in insurer payments, and ensure patients are not left carrying the burden of a funding model that no longer reflects the real cost of safe surgical care.

Robert Walters identifies New Zealand's key labour and salary trends for 2026

Auckland, New Zealand, 19th Feb 2026 - 2026 will be a year of strategic hiring, increased pressure on salaries, and rising workforce mobility across New Zealand, according to new research from global talent solutions partner Robert Walters. 

The findings come from its latest Salary Guide, which surveyed over 2,300 white-collar New Zealand professionals across 12 different industries.  

Shay Peters, CEO, Robert Walters Australia & New Zealand: ”The New Zealand labour market is showing a renewed sense of optimism, but caution remains. Businesses are hiring again, skills shortages persist, and employees are carefully weighing where they work, what they earn, and whether to relocate. This combination is reshaping the workforce: organisations face pressure to attract and retain talent, address capability gaps, and balance pay with cost-of-living concerns, while employees are increasingly strategic about career moves and mobility. How companies respond now will have a direct impact on productivity, growth, and their ability to secure and retain the talent they need for success in the future.” 

Key labour market trends 

Hiring rebounds, but jobseekers remain cautious after 2025 turmoil

Market confidence is gradual but strengthening, with 76% of New Zealand businesses planning to hire in 2026, up from 66% in 2025. 

Hiring demand varies regionally. Canterbury leads hiring intent at 78%, followed by Auckland (75%) and Wellington (72%). 

Despite this uplift in business confidence, employee mobility has cooled. 53% of New Zealand professionals are considering a role change this year, down from 63% in 2025, suggesting a more cautious workforce. 

Shay comments: ”Hiring intent has increased since last year, signalling that businesses are ready to move forward. However, employees are taking a more considered approach. From conversations we've been having with job seekers, we know the unstable condition of the 2025 labour market is making people concerned about job prospects in 2026. Economic uncertainty over the past year has made many professionals very risk-aware. The labour market is gradually rebalancing, rather than surging.” 

Rising relocation trends are creating a borderless workforce

Mobility remains a defining feature of the New Zealand workforce. 58% of professionals are open to relocating for work. 

Interest varies regionally. In Auckland, 64% would consider relocating, compared with 53% in Wellington and 51% in Canterbury. 

Australia is the most attractive destination, with 65% naming it as their top choice. Domestically, 54% would consider relocating within New Zealand. Internationally, 23% would consider moving to the UK and 21% to Europe. 

The primary drivers of relocation are higher salaries (71%), better job opportunities (65%), lifestyle changes (53%), and cost of living (38%). 

Interest in Australians relocating to New Zealand has increased this year to 17% (up from 2% in 2025). 

Shay comments: ”The strength of interest in Australia underscores how interconnected the two labour markets have become. For many professionals, relocation is no longer aspirational, it is a strategic financial and career decision. 

New Zealand employers must recognise that they are competing not just locally, but internationally. Organisations that create compelling career pathways, competitive remuneration and flexible work models will be better positioned to retain talent in an increasingly borderless market.” 

Salary growth remains modest as cost-of-living pressures persist

In 2025, 57% of New Zealand professionals received a pay rise, although most increases fell within the modest 2.5%-5% range, limiting their real impact. 

67% of New Zealand businesses intend to offer salary increases in 2026, while 56% of professionals expect one. 

42% of employees feel underpaid, but 83% of employers believe salaries are keeping pace with the cost of living, highlighting a perception gap. 

Salary dissatisfaction varies regionally. In Canterbury, 46% of professionals do not believe their salary matches the cost of living. In Auckland this stands at 42%, and in Wellington 39%. 

Shay comments: ”As businesses come out of last year's restructures, organisations have an opportunity to reassess remuneration. Where salary increases are not feasible, employers must focus on career progression, flexibility, and skills development. It's no secret the movement of New Zealand talent to Australia is well underway. Dissatisfaction around pay is a high retention risk, especially as overseas markets actively target New Zealand talent.” 

Skills shortages squeeze productivity across key sectors

Skills shortages remain critical, with 81% of New Zealand employers experiencing gaps over the past year. 

Regional pressure varies, with 52% of Auckland employers reporting shortages, followed by Wellington (49%) and Canterbury (39%). 

The most acute gaps are in industry-specific expertise (52%), digital and technology capability (37%), and leadership skills (31%) - these areas closely linked to productivity and organisational performance. 

Hiring challenges are compounded by unsuitable applicants (62%) and a lack of formal qualifications (53%). 

 Shay comments: ”Skills shortages are a severe productivity issue. When capability gaps persist, delivery slows and growth opportunities are missed. 

New Zealand organisations must take a long-term view, investing in leadership development, digital capability, and structured workforce planning. Skills gaps directly impact productivity and growth, and with more talent continuing to move to Australia, this challenge will intensify unless decisive action is taken now. Waiting for the market to correct itself is no longer a viable strategy in a competitive global talent landscape.” 

AI adoption accelerates, but concerns remain

AI integration is gaining momentum. 86% of New Zealand businesses are actively promoting AI, and 70% of employers say AI skills are important. 

Adoption at employee level is already high, with 69% using AI in their roles. However, 51% express concern about AI's future impact on their job.

Shay comments: ”New Zealand businesses are embracing AI at pace, but adoption must be matched with transparency and training. The fact that over half of employees are concerned about AI's future impact highlights the importance of clear communication and structured upskilling. 

At the speed AI is developing, it's critical that soft skills like leadership, collaboration, and problem-solving are not lost but actively encouraged alongside new technology. 

Done right, AI can increase efficiency, boost productivity, and complement human talent, supporting the goals outlined in New Zealand's 2025 AI Strategy for a productive, future-ready workforce.” 

About the Salary Guide: The Robert Walters 2026 Salary Guide provides a comprehensive overview of hiring intentions, salary trends, skills shortages, and workforce mobility across New Zealand. With insights from over 2,300 respondents, the guide highlights how businesses and employees are navigating an evolving labour market shaped by cost-of-living pressures, technological adoption, and mobility opportunities.

About Robert Walters:  

With more than 3,100 people in 30 countries, Robert Walters delivers recruitment consultancy, staffing, recruitment process outsourcing and managed services across the globe. From traditional recruitment and staffing to end-to-end talent management, our consultants are experts at matching highly skilled people to permanent, contract and interim roles across all professional disciplines. 

White plastic appears to pose a particular hazard for penguins, new research from the University of Auckland has found.

University of Auckland research fellow Dr Ariel-Micaiah Heswall tested plastic colour preferences of king and gentoo penguins at Kelly Tarlton’s Sealife Aquarium in Auckland.
 
She found the 46 gentoo and 23 king penguins interacted far more often with white plastic than other colours, possibly because white reminds them of prey, eggshell or their own feathers.
 
Penguins are known to eat plastic bottlecaps, so red, blue, black and white caps were used in the experiment.
 
The seabirds chose white almost twice as often as black, and about 45 percent more often than red or blue.
 
White plastic could be a “sensory trap” for penguins, because it might lure them with a colour that appeals to their senses, but has harmful consequences when they eat it, says Heswall, from the University's Faculty of Science and Centre for Climate, Biodiversity and Society – Ngā Ara Whetū.
 
Previous studies have found more white and clear plastics than other colours in the guts of seabirds in New Zealand and internationally.
 
Some scientists have suggested that’s because white and clear plastics make up the bulk of the millions of tonnes of plastic floating in the ocean.
 
However, Heswall’s new research shows penguins select white plastic, even when it’s not more plentiful than other colours.
 
A study she published in June last year showed white and clear plastics were most often found in the guts of 13 species of North Island seabirds.
 
Yellow and gold plastics were the next most commonly found inside the seabirds.
 
While red and green plastics were widespread on Auckland beaches, they were less often found in the seabirds’ guts.
 
Plastic was found inside all 19 of the Buller’s shearwaters they examined.
 
“It’s a big problem, but at least we’re beginning to understand it better,” says Heswall.
 
Putting a lid on the production of white and clear plastics could reduce the threat for many seabird species, she says.
 
The penguins showed least interest in the black bottlecaps and seldom pecked the blue ones.
 
“Generally, black plastic is least often found inside most species of seabirds internationally.
 
“There needs to be more research, but if manufacturers replaced white plastics with black, that could potentially make a big difference for seabirds,” Heswall says.
 
Globally, 28 percent of seabirds are classified as threatened and seven percent are critically endangered.
 
Eating plastic poses risks of starvation, as plastic can fill or obstruct the birds’ gut.
 
Sharp plastics can puncture the gut, but soft plastics, such as balloons, are more likely to result in immediate death for seabirds, Heswall says.
 
Microplastics can leach into seabirds’ blood streams, changing hormone balances and sometimes causing plasticosis, a disease marked by chronic inflammation and scarring in the digestive tract.
 
Heswall says the penguin experiments were carefully designed to avoid stressing the birds or posing a risk of plastic being swallowed.
 
Even though the penguins were free to move around the enclosure, some chose to interact with the plastic caps in all but three of the 41 trials.
 
Two or three times, the penguins responded to the bottlecaps with courting or reproductive behaviours, flapping their wings and bowing repeatedly.
 
“It was quite funny to watch.
 
“The penguins sometimes tried to rotate and turn a bottlecap, a behaviour they typically only display with their eggs.”
 
Having grown up in Brunei, Heswall only discovered the wonders of seabirds when she moved to New Zealand ten years ago.
 
“I had no idea of the diverse world of shearwaters and petrels, let alone that New Zealand was the seabird capital of the world.
 
“I fell in love with seabirds during my university studies,” says the 28-year-old.

Overall drug detections rise nationally, cocaine detections up 148%

AUCKLAND, New Zealand, 19 February 2026 – The Drug Detection Agency (TDDA), New Zealand’s largest workplace drug testing provider has launched its Q4 Imperans Report, a quarterly workplace drug trends report. The report empowers New Zealand employers to engage in proactive workplace risk management. It provides them with an analysis of drug and alcohol usage trends, combining results from across the country.

In Q4, 4.01% of screens conducted by TDDA indicated the presence of drugs (Q3: 3.75%).

Cannabis remains the most prevalent substance detected in workplace drug testing, although detections eased in many regions following a Q3 peak.

ATS detections were up nationwide in Q4, representing a modest quarter-on-quarter increase. Cocaine detections, while remaining comparatively low overall, jumped 148% from the previous quarter.

Among all positive TDDA results, the most prevalent substances detected were:

·       Cannabis: present in 67.5% of positive tests, down 3.6% from 71.1% in Q3 2025.

·       ATS, including methamphetamine: present in 24.5% of positive tests, up 1.2% from 23.2% in Q3 2025.

·       Opioids, including oxycodone: present in 18.6% of positive tests, up 0.02% from 18.6% in Q3 2025.

·       Benzodiazepines: present in 2.9% of positive tests, up 0.7% from 2.2% in Q3 2025.

·       Cocaine: present in 3.7% of positive tests, up 2.2% from 1.5% in Q3 2025.

The data points to three broad shifts in substance use patterns nationwide. Increasing regional divergence in amphetamine-type substances (ATS), easing THC (Cannabis) detections after a Q3 peak, and a concerning rise in cocaine, significantly in Bay of Plenty, Auckland West and Waikato.

Full regional stats can be found here: https://tdda.com/wp-content/uploads/2026/02/Imperans-Graphs-NZFINAL-19.02.26.pdf

“We warned employers in previous quarters that cocaine use was increasing across the nation, and Q4 data shows that this trend nearly doubled over the festive season,” says Glenn Dobson, CEO of TDDA. “This increase was particularly evident in Bay of Plenty, Auckland West, and Waikato. Businesses in the Bay of Plenty area need to take action immediately, as cocaine detections, which barely registered previously, rose to 9% of positive tests. Cocaine causes overconfidence, reduces focus and concentration, correlates with bad judgement and causes erratic behaviour. If you’re doing business in an affected region, employee education and testing are immediately advised. There’s significant risk for businesses with heavy machinery, you don’t want your workers operating chainsaws while on cocaine.”

Regional highlights

TDDA tracks regional fluctuations in substance use to help employers better manage workplace safety risks through targeted testing, education, and early intervention.

Drug Detection Rate in Auckland West, Bay of Plenty and Waikato.

Q4 data shows that drug trends are increasingly diverging by region, rather than moving in a single national direction. ATS recorded sharp increases, particularly in Auckland West, Gisborne, Hawke’s Bay, Northland, Southland, and Wellington, while easing in some areas including Canterbury, Manawatū-Whanganui and Taranaki. At the same time, cannabis detections declined in many regions after peaking in Q3, although some areas, including Gisborne and Canterbury, experienced a bounce-back. Opioids use also increased across multiple regions, especially in Otago, Taranaki, Tasman and Wellington, reinforcing the need for closer monitoring.

“What this data reinforces is the need to stay proactive,” says Dobson. “As the year gets underway and businesses recruit, onboard new staff, or adjust workforce needs, clear expectations become critical. Fit-for-purpose substance use policies, supported by pre-employment testing, regular testing programmes, and ongoing training and education, help organisations manage risk early and prevent issues from arising on the job.”

Recommendations

“When growth in detection continues across successive quarters, or when drug trends change significantly, it’s a signal employers shouldn’t ignore,” says Dobson. “As summer months continue past the holidays, the priority is stopping trends from becoming established behaviours in your workplace. That requires clear expectations through policy, consistent testing, and early intervention, particularly as people move into new roles or return to work after long weekends.”

TDDA recommends that companies review and update substance use policies at the start of the year, ensure pre-employment testing is clearly embedded into recruitment processes, and maintain regular and random testing programmes. Employers are also encouraged to invest in training and education, so managers feel confident identifying when testing is appropriate, particularly following extended leave periods or during onboarding.

With people moving between roles and workplaces, a proactive approach to policy review, pre-employment testing, and workforce education can help employers reduce risk, protect their people, and maintain safe workplaces throughout the year.

Methodology: Tests from 27 sterile clinic locations and over 60 mobile clinics throughout New Zealand were used. All tests were taken between 1 October and 31 December 2025. Data from preemployment, post incident, regular and random testing has been combined. Testing methods included urine and oral fluid screening. Data is reported into, anonymised, and aggregated using TDDA’s Imperans system, a bespoke IT platform for testing services, data recording, and reporting. It represents a snapshot of drug trends across Australasian workplaces and industries.

Total figures on testing volumes or testing results by industry and region are commercially sensitive.

TDDA drug tests screen for amphetamines; benzodiazepines; cocaine; methamphetamine; opiates and opioids; cannabis; and synthetic drugs.

About the Imperans Report

The Imperans report addresses an information gap for business. Government organisations like ACC and WorkSafe publish incident reports, but they do not quantify when substances are a factor. Reports build businesses’ understanding of substance use patterns regionally and temporally so that they can anticipate and reduce workplace risks. TDDA provides over 250,000 tests every year.

About The Drug Detection Agency

The Drug Detection Agency (TDDA) is a leader in workplace substance testing with more than 300 staff, 90 mobile health clinics, 65 locations throughout Australasia. TDDA was established in 2005 to provide New Zealand and Australian businesses with end-to-end workplace substance testing, education and policy services. TDDA holds ISO17025 accreditation for workplace substance testing in both AU and NZ. Refer to the IANZ and NATA websites for TDDA’s full accreditation details. As members of the National Drug and Alcohol Screening Association (NDASA) and the California Narcotic Officers Association (CNOA), TDDA closely follows and acts on global drug trends.

Learn more about TDDA by visiting https://tdda.com/.

The New Zealand Defence Force has combined its maritime and air assets to conduct a search and rescue operation for two men drifting in a wooden boat 105 nautical miles south of Tonga.

The two men were located by a Royal New Zealand Air Force (RNZAF) P-8A Poseidon yesterday morning and were then recovered on board the Royal New Zealand Navy’s HMNZS Canterbury last night.

The P-8A had been en route to conduct maritime surveillance operations for illegal, unreported and unregulated fishing in the South West Pacific when it was diverted to conduct the search for the missing boat.

Maritime New Zealand’s Rescue Coordination Centre requested the aircraft crew search for the boat after it was reported overdue.

The crew on board the 11.5-metre wooden boat named Mysterious Wonder were reported to have left Tongatapu, Tonga on 8 February. Authorities were notified on Tuesday that the vessel was missing.

The P-8A crew flew to Fiji to base overnight before starting the search Wednesday morning. They found the boat at 10.15am. The call then went out to HMNZS Canterbury to rescue the men and bring them to safety.

Commander Wayne Andrew, the Commanding Officer of HMNZS Canterbury, said the ship launched a sea boat, rescuing the two men late yesterday evening.

“This was an excellent combined effort to locate and rescue the crew members,” he said.

“The P-8A crew did a fantastic job locating the vessel in a large search area about 105 nautical miles south of Tonga. We were fortunate to be in a position to be able to assist the two men.”

HMNZS Canterbury recently completed a successful trip to Tokelau supporting Governor-General of New Zealand Dame Cindy Kiro to mark the centenary of New Zealand administration of Tokelau. The ship was en route to the Kermadec Islands before it turned around to assist with the rescue.

The two men were flown to Tonga this morning on a RNZAF NH90 helicopter embarked on HMNZS Canterbury.

The ship will today resume passage to Raoul Island, to assist MetService and Earth Sciences New Zealand personnel to carry out upgrade and maintenance tasks of critical weather, tsunami and volcano monitoring equipment and facilities.