The Coalition's plans for the public sector, explained

The Coalition has vowed to shake up the public sector if it wins the upcoming election, promising to cut "wasteful spending" and speed up national projects.

The Coalition's plans for the public sector, explained

The Coalition wants 41,000 fewer federal public service workers and a new agency to speed up key national projects.

Shadow Treasurer Angus Taylor laid out the Coalition’s economic plan in a speech at the National Press Club on Wednesday, where he said he would curb “unnecessary” government spending.

The quality of Australia’s public sector has shaped up as a key issue in the lead-up to the 3 May election.

Public servants

365,400 people work for a federal government agency, according to the Australian Bureau of Statistics. This includes the departments of finance, health, and education, as well as defence force personnel.

In recent weeks, the Coalition has vowed to reduce “wasteful government spending,” including the number of people who work in the public service.

Budget documents show the public service is estimated to have increased by 41,400 since Labor came to power in 2022.

In his official reply to the Federal Budget last month, Dutton said he would “reverse” the 41,000 jobs created under the current government.

Taylor has clarified this would largely occur by not replacing people who resign or retire.

In response to questions from Labor and the media, Dutton has also ruled out cuts to “frontline services”.

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Earlier this year, Dutton appointed Coalition MP Jacinta Nampijinpa Price as a spokesperson for “government efficiency”, echoing the U.S. ‘Department of Government Efficency’ (DOGE) led by tech billionaire Elon Musk.

New agency

As part of the Coalition’s efficiency drive, it has pledged to create a new department tasked with cutting red tape for national projects called ‘Investment Australia’.

In his address to the National Press Club, Taylor said the new agency would speed up approvals across sectors such as energy, resources, and construction.

“It will streamline our overlapping and confusing public service and
agencies, while driving a pro-business, pro-investment mindset throughout the public service,” Taylor said.

Taylor added the agency would also act as a watchdog on hold-ups in other federal departments.

“Its legislated powers will include [the ability] to hold agencies to account for bureaucratic delays on significant projects for our nation,” Taylor said.

The Business Council of Australia welcomed the Coalition’s plan.

CEO Bran Black said government agencies should move towards “simpler regulations and processes that boost our attractiveness as an investment destination.”

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