National polytechnic Te Pūkenga's chief executive, Stephen Town, has resigned with effect from yesterday.
Te Pūkenga has been beset with difficulties as it works to bring polytechnics, institutes of technology and Industry Training Organisations together by 1 January.
The new mega polytechnic is facing a $100 million deficit this year and criticism that it has not done enough to prepare for taking over industry training and polytechnics in 2023.
Town had been on personal leave from his job which pays up to $13,000 a week.
Chairperson Murray Strong and acting chief executive Peter Winder appeared before Parliament's education select committee in early August where they were questioned about the problems with the transition and what they were doing to cut costs and to work more constructively with staff.
Strong said the organisation had apologised to the minister of education and the staff of Te Pūkenga for not making the expected progress.