Up to 90 jobs are set to go at NIWA, one of New Zealand's leading climate research agencies.
Staff at the National Institute of Water and Atmospheric Research were told that 85 to 90 positions would be lost, of which 30 are currently vacant.
The proposed cut amounts to 13% of the agency's workforce or one in ten staff.
Chief executive John Morgan said NIWA is "not immune" to the economic challenges facing public and private organisations.
"We are working on a plan to ensure NIWA’s financial stability. In essence, we need to reduce our costs in line with the reduction in revenue NIWA is experiencing.
"And we need to do so without compromising the delivery of NIWA’s core purpose as a climate, freshwater and ocean science provider, whilst at the same time meeting NIWA’s obligation as a Crown Research Institute to be financially sustainable."
The cost savings required a reduction of 85 to 90 positions, Morgan said.
"Although most positions at NIWA will remain, I acknowledge that this is a very unsettling time for us all. However, NIWA must remain viable to continue to provide the scientific advice the country needs."
"This is utter madness at this critical time for New Zealand," said national secretary for the Public Service Association Duane Leo.
"How does this make sense? The very agency charged with evidence-based research on critical climate, marine and other environmental issues - should be getting more investment if the Government was serious about tackling those challenges."
Leo described it as a "dangerous consequence" of the Government pulling back on science and evidence-based decision making.
"The Government has the funds; it’s just choosing to give away $15 billion tax cuts rather than invest in critical public services like research and development."
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