Ministry of Social Development relocates national office

The Ministry of Social Development (MSD) is relocating its national office as part of a wider government property project that is forecasted to save the Government over $333 million in rent and other costs, MSD chief executive Brendan Boyle announced today.

From mid-August 2016 MSD begins moving over 2,200 national office staff from its current Wellington Bowen campus to new buildings on The Terrace. MSD’s shift is one part of the Wellington Accommodation Project which is seeing government departments reduce their footprint and save taxpayers money.

MSD and four other agencies are part of the first wave of moves which will save a projected $333 million over 20 years. Led by the Government Property Group (GPG), the accommodation project is reducing the amount of space leased by government agencies in Wellington and future proofing agency offices.

`` MSD has to move. The current offices are being gutted and refurbished by the owners later this year as they are at the end of their commercial life, ‘’ Mr Boyle says.

``We first moved onto Bowen Campus in 1973 and have staff working out of three buildings. With our lease expiring we had to move and as part of the accommodation project the GPG allocated 56 The Terrace to us in 2012.

``MSD’s move to 56 The Terrace will provide a functional and efficient workplace for our staff and we have an 18-year lease on the building,’’ Mr Boyle says.

All relocation costs are being met within MSD’s baseline budget. Final costs will be known when the project is completed later this year.

``The project is forecasted to come under the $39 million budget and no additional money has been required, ’’ Mr Boyle says.

``The relocation has had no impact on the funding for MSD’s core frontline services which we deliver every day. Government agencies receive funding each year to cover rent, building maintenance and other property costs. Instead of refurbishing Bowen Campus, MSD has earmarked those funds over several years to help pay for the relocation.

``The building will have a mix of formal and informal meeting areas and shared spaces, allowing staff to use the whole building as their workspace, not just their desks. It’s a more efficient and productive workplace for our staff.’’

MSD’s relocation to 56 The Terrace was approved in late 2013. Since then new work streams, functions and a huge change programme has seen national office numbers increase in the past three years.

Of the 2,200 staff at Bowen campus, around 1,900 will move into 56 The Terrace and the remaining staff will go to 89 The Terrace. This is a short-term measure over two years and eventually all national office staff will be based in 56 The Terrace.

More information on the national office relocation is available at: http://www.msd.govt.nz/about-msd-and-our-work/newsroom/2016/decision-making-on-msds-national-office-relocation.html

ENDS

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