Labour has released details of job losses at the Ministry of Foreign Affairs and Trade.

MFAT staff were informed of cutbacks earlier today.

Labour's Foreign Affairs spokesman Phil Goff is releasing what he's been told are the cutbacks will be.

"Over 305 people are going to lose their jobs in the ministry, including 63 foreign policy positions. That's the biggest cut ever in our foreign affairs and trade service."

Mr Goff says that represents the loss of one in four staff at the Ministry.

"That means they won't be able to carry out their functions of defending our trade and security interests and looking after New Zealanders through consuler services abroad."

Mr Goff says the Ministry is being gutted.

The cuts will save between $20 million and $25 million a year.

MFAT's chief executive John Allen says staff will have a month to submit their view on the proposals, which also include closing embassies in Stockholm and Warsaw, cutting the Maori Policy Unit and cutting overseas allowances.

Mr Allen admits the uncertainty is challenging for staff.

"Getting the consultation document out in front of people, giving them a chance to understand the breadth of measures that we are proposing, giving them a chance to have input into that. I think will go a long way to addressing some of those morale issues but there is a way to travel yet."

Mr Allen says people posted overseas will be asked to pay some of their living costs with the aim of re-balancing offshore and onshore salaries.

"The other key principle, which is about insuring that we pay people for the job they are doing, not for their status or for their wider circumstances, underpin the proposals."

And Foreign Affairs Minister Murray McCully has released a written statement saying the proposals are an attempt to create a ministry that can meet the country's current and future needs.

But he's shying away from saying much publicly.

Photo: MFAT chief executive John Allen at the presser today (Katie Bradford-Crozier)