Artificial Intelligence in the Public Sector
4 June, 2026
Interview by Pranuja Tahal, adapted by Chloe Porter
The government recently announced plans to cut 8,700 public sector jobs by 2029 and replace some of these roles with artificial intelligence. Experts are urging for proper AI safeguards and consideration of the workers most affected.
Dr Mohsen Mohammadzadeh, Senior Lecturer in Architecture and Planning from the University of Auckland, spoke to 95bFM’s The Wire to discuss the risk of automating public sector work, the social consequences of AI, and what responsible implementation should look like.
He says that the transition to AI-based tools is inevitable, but it is the manner in which the government is making this transition that concerns him. He questions the government's thoughtfulness and criticises the lack of clarity given on who and what this announcement will affect.
“Do they have any plan to put a kind of transition for people? Rescaling them, re-educating them to find new positions?” There has been little acknowledgement from the government towards those who will lose their jobs, and little clarity on what kinds of positions they want to replace. He urges that “we need more information. Which jobs will be eliminated, and what plans do they have for people?”
The government's main argument is that AI would improve efficiency and reduce costs. Mohammadzedeh acknowledges that technology can improve productivity but believes “money is not the main thing here.”
He warns that the cost benefits overlook the impacts this would have on the people affected, including physiological stress, emotional hardship — this, he says, is “something we need to plan for it and think about it ahead before implementing this kind of policy.”
Mohammadzadeh also says that the government hasn't clearly defined how this technology will be used. “AI is not just one tool, it’s a range of tools,” he said, adding that the announcement lacked solid detail about which tasks would be taken over by AI and what systems would be implemented.
Concerns around privacy and security have also been raised when discussing these new technologies. Public services manage sensitive personal information, and the issue arises as many AI systems are managed by international companies. Mohammadzedeh warns that this creates uncertainty around how data is stored and whether it is well protected under Aotearoa’s privacy regulations. As government services become more reliant on AI and digital platforms, he said the risk of data breaches and hacking incidents may also increase.
Another concern is new skill gaps. Universities are increasingly preparing students to work with AI technologies, but Mohammadzedeh believes current workers may not not have the ability to adapt to these technologies. He believes government agencies should work with educational institutions to provide further training and upskilling programmes targeted at specific professions.
Ultimately, Mohammadzedeh says the key issue is ensuring AI introduction has a clear plan for managing the transition. “Yes, you can increase the efficiency and productivity, but we need to follow the steps and kind of the framework to be sure what we are doing that will not damage the trust between the different groups, communities, and the government itself.”
