Just months out from a Federal Election, the Turnbull Government has handed down a harsh Budget that will rip $1.9 billion from department funding and put a further 3,000 to 4,500 jobs at risk in coming years. These job cuts come on top of the 18,000 they have already cut since 2013. As well as hurting jobs, these cuts will cause a further deterioration in the quality and reliability of essential services relied upon by all Australians.
Government reneges on Efficiency Dividend commitment
In the last Budget the Government had committed to reducing the Efficiency Dividend (an across-the-board cut imposed on agencies' operating budgets) from the current 2.5% to 1% in 2017/18.
However, in a damaging back-flip, the Turnbull Government will now keep the Efficiency Dividend at 2.5% for 2017-18, dropping to 2% in 2018-19 and 1.5% in 2019-20. This will cut $1.9 billion from departments’ funding, $500 million of which will be allocated to an unspecified fund to “support more transformational efficiency initiatives, such as automation of public services and business re-engineering”.
Other cuts
As well as using the Efficiency Dividend to slash jobs and services, the Turnbull Government Budget will:
rip a further 800 jobs and $80 million from the Department of Human Services, on top of the new “efficiency dividend” cuts
roll out 'Scoping Studies' and other measures as a part of a plan to privatise more Government services
cut over 7,000 state public sector jobs through using non-government providers in the National Disability Insurance Agency
Introduce tax cuts for large corporations and high earning individuals, with virtually nothing to make multinational corporations pay tax, while services for Australians suffer.
The ABC has also been hit with a funding cut of almost $20 million.
CPSU slams harsh cuts
CPSU National Secretary Nadine Flood said: “Prime Minister Malcolm Turnbull and Treasurer Scott Morrison have delivered a Budget that talks jobs, growth and innovation, but there’s nothing innovative about billions of dollars in cuts."
“There’s nothing innovative about 22 million calls to Medicare, Centrelink and Child Support going unanswered last year, with more public service cuts to come, including an incredible $1.9 billion so-called efficiency dividend funding cut.”
“There’s certainly nothing innovative about gutting the CSIRO, with one in five scientists sacked and critical research halted in areas including climate change, bowel cancer and dementia.”
“Calling this a jobs Budget is a joke when the Government has already cut 18,000 public sector jobs and now they’re cutting thousands more. Calling this a growth Budget is a furphy when you’re slashing science, research and policy capability that helps create and support future jobs and industries.”
“This Budget is a missed opportunity, with the Government continuing its tired ideological attacks on the public sector rather than investing in positive change which would ensure the public sector can deliver for all Australians.”
What happens next?
The CPSU will be seeking briefings with agencies where significant changes have been announced to try and protect jobs and services and ensure members are properly consulted. At the same time we will be continuing our political and community campaigning in support of the public sector jobs and services, particularly in the looming federal election.
Government reneges on Efficiency Dividend commitment
In the last Budget the Government had committed to reducing the Efficiency Dividend (an across-the-board cut imposed on agencies' operating budgets) from the current 2.5% to 1% in 2017/18.
However, in a damaging back-flip, the Turnbull Government will now keep the Efficiency Dividend at 2.5% for 2017-18, dropping to 2% in 2018-19 and 1.5% in 2019-20. This will cut $1.9 billion from departments’ funding, $500 million of which will be allocated to an unspecified fund to “support more transformational efficiency initiatives, such as automation of public services and business re-engineering”.
Other cuts
As well as using the Efficiency Dividend to slash jobs and services, the Turnbull Government Budget will:
rip a further 800 jobs and $80 million from the Department of Human Services, on top of the new “efficiency dividend” cuts
roll out 'Scoping Studies' and other measures as a part of a plan to privatise more Government services
cut over 7,000 state public sector jobs through using non-government providers in the National Disability Insurance Agency
Introduce tax cuts for large corporations and high earning individuals, with virtually nothing to make multinational corporations pay tax, while services for Australians suffer.
The ABC has also been hit with a funding cut of almost $20 million.
CPSU slams harsh cuts
CPSU National Secretary Nadine Flood said: “Prime Minister Malcolm Turnbull and Treasurer Scott Morrison have delivered a Budget that talks jobs, growth and innovation, but there’s nothing innovative about billions of dollars in cuts."
“There’s nothing innovative about 22 million calls to Medicare, Centrelink and Child Support going unanswered last year, with more public service cuts to come, including an incredible $1.9 billion so-called efficiency dividend funding cut.”
“There’s certainly nothing innovative about gutting the CSIRO, with one in five scientists sacked and critical research halted in areas including climate change, bowel cancer and dementia.”
“Calling this a jobs Budget is a joke when the Government has already cut 18,000 public sector jobs and now they’re cutting thousands more. Calling this a growth Budget is a furphy when you’re slashing science, research and policy capability that helps create and support future jobs and industries.”
“This Budget is a missed opportunity, with the Government continuing its tired ideological attacks on the public sector rather than investing in positive change which would ensure the public sector can deliver for all Australians.”
What happens next?
The CPSU will be seeking briefings with agencies where significant changes have been announced to try and protect jobs and services and ensure members are properly consulted. At the same time we will be continuing our political and community campaigning in support of the public sector jobs and services, particularly in the looming federal election.
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