Commission of Cuts and Privatisation

22 October, 2013 | Media Release

The Abbott Government's Commission of Audit is nothing but a process to outsource public policy to big business and pave the way for cuts to public services, the ACTU said today.

ACTU President Ged Kearney said that this had already happened in Queensland where the Newman Government used the same process to savagely cut public services such as health care and social welfare services leaving many of its community in the lurch and moving to privatise provision of important public services.

"This is not a broad-based commission, it is a body that has no representatives from civil society or unions and which will support a government agenda of cuts and contracting out services," Ms Kearney said.

"The Government is effectively contracting out policy-making to business.

“This process isn’t about the future of public finances and the needs of the Australian community, it’s about the interests of big business. If the Government intended to contract out responsibility for public finances to an organisation representing the banks and mining companies, they should have told the Australian people before the election.

"The Australian Public Service is a vital institution that provides valuable services to the community that cannot be replicated by the private sector. We have a world-class public service which provides irreplaceable value to Australians.

"Australia has a small government by the standards of other developed nations, and since 2007 the size of the APS has not kept pace with population growth. The idea that we have a bloated public service is patently false.

“The Coalition have already begun its ideological attack on the role of government in delivering a social protection floor through the promotion of 'The Big Society' concept - an abject failure in the UK that resulted in social inequality, major job losses, and cuts to important social services.

"Australians will not support slashing cuts to public services such as Centrelink and Medicare, or the sale of government assets.

"While in opposition Joe Hockey boasted of plans to cut 20,000 jobs from the public service. This commission must not be used as an excuse to make deep cuts to services and permanently reduce the capacity of the public service.

"We have seen the results of government 'austerity' programs in Europe, and we do not want Australia to go down that path."

Ms Kearney said the ACTU was concerned about the prospect of the sale of government assets after Finance Minister Mathias Cormann confirmed today that the Government planned to sell Medibank Private and would not rule out further asset sales.

"We need to know what assets the Commission will be looking at. Is the Government planning to sell off Australia Post?

"Australian workers want the Federal Government to provide good quality services. They will not support widespread cuts, privatisation and contracting out of essential functions of government."