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New Zealand Rugby's austerity measures are starting to take effect, with new All Blacks coach Ian Foster revealing he has taken a pay cut.

Ian Foster's first significant act as All Blacks coach has been to take a pay cut.

Foster said a complete lack of rugby globally had put the sport in a "dire state" and he and his coaching staff were willing to play their part as New Zealand Rugby's austerity measures ramp up in the face of the coronavirus pandemic.

The 54-year-old, who has yet to take charge of the national team three months after replacing Steve Hansen, believed leading players would also be prepared to make financial sacrifices.

"Our coaching group has definitely taken a big cut," Foster told Radio Sport on Saturday.

"It's a dire state when you can't play a game. We're obviously in a high-cost, high-revenue industry, and when the revenue dies, you're left with high costs. So it's a no-brainer. There's going to be some pain."

NZ Rugby is yet to announce how it will cope financially with the indefinite suspension of Super Rugby, but Foster revealed there had been a "shaving" of programs across the board.

He had spoken to some senior All Blacks, who were aware that pay cuts are inevitable.

"It's a given, they understand that. It's just a matter of working it through so all the different levels of players are dealt with fairly. I haven't had one player yet who doesn't know it's going to happen or doesn't accept that it's going to happen."

It was reported this week that England's Australian coach Eddie Jones had agreed to a 25 per cent salary reduction.

It is unclear if Foster's sacrifice is at that level but he suggested he may be in line for an additional pay cut if the pandemic stymies rugby's return well into the second half of the year.

At this stage, the All Blacks' first assignments are home Tests against Wales and Scotland in July.