Financial statement outlined at AGM

October 1, 2021

NZNO management will take a microscope to spending to cut a cashflow shortfall, the 2021 annual general meeting has heard.

Corporate services manager David Woltman said the annual financial report was delayed because of delays to the valuation of 57 Willis St Ltd from a busy valuation sector. There was also a wait for auditor Deloitte to deal with information needed as part of the audit, in this case a solicitor’s confirmation.


Deloitte received the information they wanted then released the statement with no associated changes, he said.


Woltman said membership decreased in the financial year ending March 31, 2021 by 743, to 50,900 members. Of these, 412 were registered nurses, and overall, about a third left the profession altogether, Woltman said.

The budgets for the year were based on forecast membership growth, Woltman said. “We actually had a decrease.”

Woltman said NZNO had an operating deficit after tax of about $1 million, coming in at about $59,000 worse than planned. The financial statement said NZNO had an income of $22.4 million, and expenditure of $23.4m.


He said total revenue was down by $1.5m. As well as lower-than-expected membership fees, there was a major drop in college and section conference income, and the likes of sponsorship and registrations.

However, he said spending was down by $1.4m including savings from reduced staff travel and accommodation. Regional and national conferences were moved online in 2020 – saving on travel, accommodation, venue and catering costs.

Overall, member funds increased from $12.6m to $13.1m. College and section funds grew by $109,000 to $1.8m. The hardship fund set up in 2018 at $100,000 sat at $98,747, with some going to support primary health care members.

Woltman said operating costs exceeded incoming cashflow by $520,000. This had grown from a $176,000 shortfall the previous financial year.

“This result must change and cannot continue in the future,” he said.

The board was notified and management was reviewing income and spending to reverse the outflow.


Acting chief executive Mairi Lucas told the conference that membership had grown in the current financial year to more than 52,000. This came largely through district health board bargaining, she said. Lucas said management had made serious moves towards cost savings. This included limiting travel and associated costs, and increasing online meetings. About $500,000 could be saved this way. She said Kai Tiaki Nursing New Zealand would be published exclusively online in the near future, with expected savings of about $500,000 as well.

See also: AGM coverage