Dutton hints he’ll sack 36,000 public servants. Voters deserve to know what services will be affected
- Written by John Hawkins, Senior Lecturer, Canberra School of Politics, Economics and Society, University of Canberra
Peter Dutton and his Coalition colleagues have dithered for several weeks on their plans for the Commonwealth public sector.
While being upfront that public service jobs would be targeted, they’ve made numerous contradictory statements about the number of public servants who would be sacked if the Coalition wins the coming election.
But Peter Dutton’s most recent comments confirm that he clearly wants to make significant cuts.
And it’s hard to see how the sackings wouldn’t erode important front line services that many Australians depend on for help and support.
36,000 jobs on the line
This week the opposition leader declared the Coalition would achieve A$24 billion in savings by reducing the size of the public service.
He was unequivocal. The money would be clawed back over four years and would more than cover the Coalition’s promised $9 billion injection into Medicare.
Dutton explicitly tied the $24 billion in savings to the 36,000 Commonwealth public servants who have been hired since the last election
Under the Labor Party, there are 36,000 additional public servants, that’s at a cost of $6 billion a year, or $24 billion over the forward estimates. This program totals $9 billion over that period. So, we’ve well and truly identified the savings.
While still not nominating a precise number of job cuts, it’s Peter Dutton’s clearest statement of intent to date. By “truly” identifying the savings, 36,000 jobs are on the line. And it accords with Dutton’s earlier comments that the extra workers are not providing value for money for Australian taxpayers.
(They have) not improved the lives of Australians one iota
While this sounds like he wants to dismiss them all, senior colleagues are more circumspect.
According to Nationals leader David Littleproud, the number of job cuts has not yet been decided. Shadow Public Service Minister Jane Hume further muddied the waters by referring to the cuts being by attrition, and excluding frontline services.
Frontline services
The public service head count has grown to 185,343, as of June 2024. So cutting 36,000 staff, or even a large proportion of that number, would be a very significant reduction.
The agencies that added the most public servants between June 2023 and June 2024 were the National Disability Insurance Agency (up 2,193), Defence (up 1,425), Health and Aged Care (up 1,173) and Services Australia (up 1,149).
Many of these extra staff would be providing invaluable front line services to clients and customer who are accessing essential support.
And some of the new public servants replaced more expensive outsourced workers. Finance Minister Katy Gallagher has claimed the Albanese government has saved $4 billion of taxpayers’ money by reducing spending on consultants and contractors.
Rather than the alleged explosion in the size of the bureaucracy, the growth in public service numbers has closely matched the increase in the population. Last year, they accounted for 1.36% of all employed persons, up by only a minuscule degree on the 1.35% in 2016.
Canberra bashing
According to Dutton, the 36,000 additional public servants hired under Labor all work in Canberra. It was not a slip of the tongue. The claim is also in the Liberal Party’s pre-election pamphlet.
But only 37% of the public service workforce is located in the national capital. Half are based in state capitals. A full quarter of those involved in service delivery work in regional Australia.
The Liberals clearly think they have nothing to lose among Canberra voters, given they have no members or senators from the Australian Capital Territory.
The coming election will no doubt tell us if Canberra bashing still resonates with voters elsewhere in the country. Dutton has clearly made the political judgement that it does.
Another night of the long knives?
A change of government often precipitates a clean out at the top of the public service.
When the Howard government was elected in 1996, no fewer than six departmental secretaries were sacked on the infamous night of the long knives. Then prime minister Tony Abbott dismissed four departmental chiefs in one fell swoop after taking office in 2013. He didn’t even consult his treasurer before dumping the head of Treasury.
This pattern of culling senior public servants represents a chilling risk to good policy development. Departmental secretaries concerned about losing their jobs may be reluctant to give the “frank and fearless advice” their positions demand.
Read more: After robodebt, here's how Australia can have a truly 'frank and fearless' public service again
Spending cuts after the election
Voters are entitled to know what the Coalition has planned for the public service before they cast their ballots.
The lack of detail on job losses is matched by a reluctance to outline spending cuts elsewhere. Dutton has ruled out an Abbott-style audit commission. He is prepared to cut “wasteful” spending, but won’t say if it may be necessary to also chop some worthwhile outlays to dampen inflationary pressures.
Dutton is adamant that any spending cuts by a government he leads will be determined after the election, not announced before it. This does nothing for democratic accountability. It does not give the electorate the chance to cast their votes on the basis of an alternative vision from the alternative government.
All Australians, not just public servants, deserve to know before polling day just how deep Dutton and the Coalition are really planning to cut.
Authors: John Hawkins, Senior Lecturer, Canberra School of Politics, Economics and Society, University of Canberra
