The district court-based collection unit in Queenstown will survive under a national Ministry of Justice reshuffle of collections services that could threaten other similar-sized regional units.
Public Service Association (PSA) national secretary Richard Wagstaff said the union's submission was instrumental in saving the Wakatipu unit from closure.
He said the restructuring would take jobs out of small communities and shift them to urban hubs.
Ministry of Justice staff outside Christchurch were briefed on Tuesday on the ministry's final decision and although exact job loss figures were unknown, management roles, call-centre jobs and bailiff positions "will all go" under the new model, he said.
Mr Wagstaff said the PSA believed the restructure "is about the Government's agenda to cut public service jobs at the expense of services.
This is just one of several reviews under way at the Ministry of Justice.
Just how efficient can an organisation be when it's under perpetual restructuring?" he asked.
The new regime takes bailiffs out of local communities and relocates them in centralised hubs.
Ministry collections general manager Bryre Patchell said the new system would make it harder for people to avoid paying fines.
"It will allow use of improved address and employment information.
It means we will be using the powers of the court to make compulsory deductions from people's earnings to a far greater degree than previously.
This is likely to mean fewer seizure warrants for bailiffs to execute but when they do, a greater success rate, because of better address data," he said.
Mr Patchell said collections services proposed for Queenstown changed as a result of the feedback from staff.
"After carefully considering the staff feedback, collections registry officer roles in Queenstown will increase from two to three, with bailiff services provided from Invercargill when necessary.
This recognises the high proportion of tourists being fined in Queenstown District Court," Mr Patchell said.
There was "nothing particularly compelling in the PSA submission," he said.