About the Scheme

The Voluntary Bonding Scheme (the Scheme) is a practical initiative now run by Te Whatu Ora — Health New Zealand, and formerly run by the Ministry of Health.

It aims to encourage newly qualified health professionals to work in the communities and specialties that need them most, and to retain essential health professionals in Aotearoa New Zealand. It also aims to increase representation of Māori and Pacific peoples within the health workforce.

The Scheme is targeted to new or recent graduates in eligible professions who are starting their career, with the aim of incentivising them to work in eligible hard-to-staff communities or specialties. Those accepted to the Scheme can become eligible for payments in the first three-to-five years of their career, to help repay their student loan or as top-up income.

Analysis of historical workforce data indicates that registered nurses on the Scheme have higher retention in hard-to-staff specialties compared to nurses not on the Scheme. Of graduate nurses who have registered for the Scheme, the retention rate after five years is up to 27 percent higher than those graduates who did not register for the Scheme.

The Scheme also provides important incentives for other Scheme professions regarding geographic location, public sector employment and general retention.

Health System Reforms and existing bonds

On 1 July 2022, the enactment of the Pae Ora (Healthy Futures) Bill, established Te Whatu Ora and Te Aka Whai Ora - the Māori Health Authority as the new entities to lead and operate our health system. Administration of the Scheme was transferred from the Ministry to Te Whatu Ora.

From 1 July, the only change in regards to existing bonds is that the agreement will be with Te Whatu Ora , rather than the Ministry. If Terms and Conditions refer to a DHB, the bond will be to the current geographical area of that DHB, rather than the DHB as employer.

If you have any questions, email us on vbs@health.govt.nz.

 

The 2022 intake Registration of Interest Period has now closed

The 2022 intake online Registration of Interest period has now closed. Scheme registrations must be received within the registration period – late registrations cannot be considered.

Further information is available on the 2022 intake webpage, including:

  • information for those who have registered
  • the geographic, gender and ethnicity distribution of 2022 registrants
  • the eligible professions, specialties, and communities for 2022.

 

Voluntary Bonding Scheme – 2023 Intake

A registration period for a 2023 intake will open in early 2023 on the Te Whatu Ora website.

Registrations must be received within the registration period, and late registrations generally cannot be considered. Registration does not guarantee a place on the Scheme; if the Scheme is oversubscribed, a selection process may be undertaken.

The eligible professions, communities and specialties for the 2023 intake and the full 2023 Terms and Conditions will be updated to the Te Whatu Ora website later in 2022.

Email vbs@health.govt.nz if you have any questions about the Scheme.

Scheme eligibility

Definition of bonding

Registrants accepted on to the Scheme are not required to sign an agreement in advance. Those who register and are accepted to the scheme and who work in an eligible hard-to-staff community, specialty or profession and abide by the Terms and Conditions of the intake year can apply for payments after three, four and five years.

How much you will receive

Those who register and are confirmed on the scheme, and who meet the Terms and Conditions, can apply for the following after-tax payments (in addition to salary) after three to five years’ service:

Profession

1 st Payment for Years 1-3 (after tax)

2 nd Payment for Year 4 (after tax)

3 rd Payment for Year 5 (after tax)

Graduate Doctors & Dentists

$30,000

$10,000

$10,000

General Practice Trainees

$30,000

n/a (bond is 3 years)

n/a (bond is 3 years)

Registered and Enrolled Nurses

$8,499

$2,833

$2,833

Midwives

$10,500

$3,500

$3,500

Medical Physicists / Sonographers / Oral Health Therapists

$11,796

$3,932

$3,932

Radiation Therapists

$10,125

$3,375

$3,375

Payments are made to IRD against your student loan account, or if you have no loan, into your bank account. You can apply for your first payment after three years, and again at the end of your fourth and then fifth years.

Payment forms for your intake will be available for download on this website towards the end of your third, fourth and fifth years.

The Inland Revenue Department (IRD) website has more information about tax rates and voluntary bonding schemes.

Eligibility criteria

There are limited places available each year/intake. To be considered for the Scheme, you must register during the Registration of Interest period if you:

  • completed study at an accredited tertiary institute 
  • completed your final year of undergraduate study* before the annual Registration of Interest period closes – for example, those who completed their studies in 2022 or early 2023 could register for the 2023 intake
  • have started working – or intend to start – in an eligible hard-to-staff profession, community or specialty and intend to do so for at least three and up to five years
  • will be a New Zealand citizen or permanent resident by the time you apply for payment from the scheme (three years after you register for the Scheme)

*or

  • you are a postgraduate doctor who has recently commenced GPEP 1, 2 or 3 training as a GP in an eligible hard-to-staff community, or
  • you are a sonographer or medical physicist who has completed your postgraduate qualification the year before scheme registration, or
  • you are a dentist or oral health therapist who has completed your undergraduate studies in 2020, 2021 or 2022.

In order to receive payment(s) you must meet the terms and conditions of your intake year for at least three years. The date you complete studies is considered to be the date on your statement of completion of studies – not the date of your graduation ceremony. You may need to obtain this statement from your education provider if requested by Te Whatu Ora.

Eligible professions, communities and specialties

Information about the eligible hard-staff specialties and communities can be found in the Terms and Conditions for your profession and intake year.

Payments when the profession, community or specialty I work in has been removed from the hard-to-staff list

If you have registered and been accepted on to the scheme and work according to the terms, you will still be eligible for payment(s) even if the profession, community or specialty you work in is removed from the eligible hard-to-staff list.

Once accepted on to the scheme, to remain eligible for payments you must continue to work in a hard-to-staff category for your intake year and profession for the duration of your bonded period, even if it has been removed for future intakes.

Working part-time, taking leave or changing jobs, communities or specialties

A minimum of 0.6 FTE is required during your bonding period (this can be an average across every 12 months participating in the scheme). This is the equivalent of a workload of 24 hours per week, or 1,152 hours over a normal working year of 48 weeks. The requirement for Lead Maternity Carer midwives is based on the number of births attended.

If you change jobs and/or relocate, you remain eligible for payments if you continue to work in an eligible hard-to-staff community, specialty or profession, and you meet the terms and conditions of your intake year.

Annual leave generally counts towards your bonding period but extended time away from work – more than 14 weeks in any 12-month period – does not.

Up to 14 weeks total absence in a 12-month period, (including your annual leave) is classed as a break, and up to 10 weeks beyond that is classed as a pause, which needs to be made up as time on the scheme.

Absences of more than 24 weeks in a 12-month period would make a participant ineligible for the scheme and payments, unless there are exceptional circumstances.

You can take up to 52 weeks parental leave (per pregnancy) and remain eligible for the scheme. Parental leave will not count towards your bonding period.

You need to submit verification of any annual/sick/unpaid/parental leave and gaps in employment taken when you apply for payment.

Let us know if your circumstances change, or if you have any eligibility queries. If your circumstances are exceptional and result in an inability to meet the terms and conditions, you can make a request for an exemption.

Leaving the scheme before five years are up

You can leave the scheme before the five years are up, but the minimum bonded term to be eligible for any payment is three years. Your involvement is up to you. Should you decide to leave get in touch at vbs@health.govt.nz.

Terms and Conditions and Payment Application Forms

We have separate Terms and Conditions and Payment Application Forms by profession and year.