The country's senior doctors hope to bridge the pay gap between Australia and New Zealand, when they re-negotiate their collective pay agreement - which expires in April.
The Association of Salaried Medical Specialists says the lowest estimate of the pay gap is about 35 percent.
Powell says New Zealand also needs to be able to compete with Australia when recruiting overseas doctors.
The current agreement was signed in May 2008, after what the association says were "conflict ridden" negotiations.
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