Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Hansard source

I thank Senator Pocock for the question. The idea that we are imposing a five per cent cut on agencies is incorrect. As I said in a radio interview this morning, what we have asked agencies to do is to think about all the things they're doing and all the programs they administer and to consider whether they are still priorities, because we need to ensure that we've got resources available to meet all of the pressures that are coming the way of the Public Service. I get criticised from those opposite on the issue of fiscal discipline. This is fiscal discipline. You have rules around how you consider new funding, what the existing funding is, what the new priorities are and what the pressures are. Our job is to try and consider that across the board and work out how to make all of the necessary investments.

This exercise has been around ensuring agencies are constantly thinking about what they do. Since we came to government, we've found about $100 billion worth of savings and reprioritisations across government. By finding that, we've been able to invest in the areas that are priorities for this government and meet some of those pressures. This is a continuation of that approach. We are not looking to reduce ASL as part of that. We have been very clear that we thought the Public Service was in terrible shape when we came to government. It had been hollowed out. It had been contracted out. We turned that around in the first term by employing people to permanent Public Service jobs and reducing the use of consultants and contractors. We will continue with that approach, but we will also bring fiscal discipline to the budget process.