Second Reading Speech: Public Service Amendment Bill 2023 

I rise to speak on the Public Service Amendment Bill 2023. The opposition will be reserving its position on this bill, having regard to the fact that the minister has offered to provide a briefing to the relevant shadow minister and that debate on this bill has commenced prior to that briefing occurring. While there are many elements in the bill that the opposition supports, we believe this bill can be improved in several ways. We note the significance the government has placed on these changes, in the second reading speech delivered by the minister, and we will be seeking to have this bill referred to the relevant Senate legislation committee for inquiry.

Australians deserve and should expect a world-class public service in the context of the constitutional democracy as set out in our Constitution. A world-class public service in the context of our constitutional democracy is fundamental to the development, implementation and realisation of good policy and public administration of our nation's resources and tax revenues. In my contribution to this debate, I want to address, firstly, the issue of how this bill responds to the recommendations of the Thodey review, and, secondly, the importance of a strong Australian public service in meeting the needs of the Australian government and, through the government, the Australian people.

The changes included in this bill respond, in part, to the review of the Australian Public Service that was commissioned by the former government and to which the former government responded. It was led by Mr David Thodey AO, a very eminent Australian. The Independent Review of the Australian Public Service provided over 40 recommendations. In its response, the former government had this to say:

"The Government respects the experience, professionalism and capability of the public service, both in policy advice and implementation, and we expect the APS to get on and deliver the Government's agenda. In the Westminster system of parliamentary democracy, it is the Ministers who are accountable to the public. It is Ministers who provide policy leadership and direction."

This statement is fundamental to a healthy and strong relationship between governments and public officials, departments who acknowledge the relationship and the important position of elected officials who carry out their duties on behalf of voters.

The bill before the House would make changes to existing legislation to address recommendations 2a, 2b, 5 and 6 of the Thodey review, as well as make amendments to clarify current provisions and make certain technical amendments to the act. In response to recommendation 5 of the review, the bill would create a new APS value of stewardship. The APS values are set out in section 10 of the Public Service Act. There are currently five APS values: impartial, committed to service, accountable, respectful and ethical. In response to recommendation 6, the bill would create a requirement for an APS purpose statement to be developed by the Secretaries Board. The Secretaries Board is chaired by the Secretary to the Department of the Prime Minister and Cabinet and is composed of the secretaries of all Australian government departments, the Secretary for Public Sector Reform and the Australian Public Service Commissioner, who acts as the board's deputy chair.

This bill also clarifies the operation of section 19 of the Public Service Act to provide 'that Ministers must not direct Agency Heads on individual employment matters' for the Australian Public Service. The bill would establish measures and impose requirements upon agency heads to create a work environment which enables decisions to be made by Australian Public Service employees at the lowest appropriate classification. This change is in response to the findings in the review that decisions involving risk have tended to be increasingly escalated upwards in the Australian Public Service. The aim is to empower the Australian Public Service to make decisions in line with the delivery of government policy, balancing this with the need to ensure that these actions by the Australian Public Service have accountability to the government, to the parliament and to the wider community.

The bill would also make amendments to allow for the Australian Public Service Commissioner to, at any time, cause a capability review of an agency. This change is in response to recommendation 2a of the Thodey review. Capability reviews would be required for each department, for the Australian Taxation Office and for Services Australia at least once every five years. The reviews would be published alongside agency responses. In relation to the Australian Public Service Commission, the secretary of the Prime Minister's department must cause a capability review of the Australian Service Public Commission to be undertaken under this new mechanism at least once every five years. In addition to the capability reviews, the bill would also require the Secretaries Board to request and publish regular long-term insights reports to make available information about medium-term and long-term trends, risks and opportunities that may affect Australia or Australian society and information and impartial analysis relating to those trends, risks and opportunities.

The bill also responds to recommendation 2b of the Thodey review by creating a requirement to have agencies publish their annual APS employee census results. Finally, the bill also contains minor and technical amendments relating to the sunsetting of the Public Service Regulations 1999 by updating the new Public Service Regulations 2023.

The coalition supports many measures in this bill which provide clarity for the operation of the Public Service and outline the way in which it can deliver better outcomes for Australians. However, we are concerned that the government has not taken this opportunity to outline the core purpose of the Australian Public Service: servicing the Australian people and the elected government. As is outlined in the Australian Public Service Commission's own guidance on the values and principles of the Australian Public Service:

Accountability relationships in the Australian constitutional and legal system may be summarised as:

1. governments are accountable to the Australian people at elections

2. ministers are responsible for the overall administration of their portfolios and accountable to the Parliament for the exercise of ministerial authority

3. public servants are accountable to ministers and, through them, to the Parliament for the exercise of delegated authority.

It is the view of the opposition that this bill presents an opportunity to provide this articulation of the accountability relationship. The position of the Australian Public Service is critical to the delivery of better outcomes for Australians, and the proposed amendments, in particular, to outline the APS purpose are a fitting opportunity to put that role of delivery front and centre.

The opposition believes that, in addition to addressing this important issue, the mechanism of capability reviews as outlined in the bill could be improved by requiring that those reviews are conducted in consultation with the relevant minister. It is important, of course, that these reviews be conducted independently, to provide a clear assessment of how a department or agency is performing and how it is equipped for the challenges ahead. However, we note that these reviews go to the ability to deliver outcomes and policies developed by the government of the day. To that end, including a consultation mechanism with the relevant ministers will provide an important input into the assessment of whether the department or agency has the required posture and resources to achieve these outcomes for the community.

The Australian Public Service has long been and will remain the engine room for the delivery of the will of the Australian people, guided by the elected government and the parliament. The opposition trust that any changes we propose to improve this bill and to ensure that the Australian Public Service is provided with a clear and strong framework for that delivery will receive the support of the government and the parliament.