Health New Zealand has welcomed the decision by members of the Midwifery Employee Representation and Advisory Services (MERAS) to settle their collective employment agreement.

The new deal covers a 29-month term and includes a 3.5 percent salary increase, along with a members-only lump sum payment of $235.

Health New Zealand employs 1,728 midwives across the country, with the workforce growing by 111 full-time equivalent positions in the 12 months to March 2025.

Under the new agreement, a graduate midwife on Step 2 with a base salary of $82,642 would receive a total increase of $7,986, or 9.7 percent, by June 2026 once step progression is applied.

Midwives on the top step of the scale, earning $108,008 annually, would see their salary rise to $111,821 by June 2026, a pay increase of $3,813 or 3.5 percent.

Health New Zealand said the pay rise reflects the important work midwives do supporting women and families.

Since 2018, the salary for a registered midwife on the highest step has increased by 36.4 percent, or $39,250, including step progression and pay equity adjustments.

Senior midwives on the top of their scale have received a 26.6 percent increase over the same period, equating to $43,236.