Ms O’CONNOR – Perhaps, Treasurer, you could explain how this output is working? Can you confirm that the primary work is being undertaken in the Department of Premier and Cabinet?
Mr ABETZ – That’s right; not in the president’s office, so we can refer to it as the Efficiency and Productivity unit, and not the DOGE.
Ms O’CONNOR – Yes, and the objective of it is presumably not dissimilar. How does it work? Presumably this unit, the Productivity and Efficiency Measure Unit, is sweeping across all agencies?
Mr ABETZ – As you indicated, Premier and Cabinet are in charge of the detail of this, but yes, the idea is to go and have a look at every unit, agency, et cetera, to see what can be achieved. Might I add, as part of the government’s approach, we’ve also reached out to our public servants asking them if there are any areas that they can identify. The last time I was told we’d already had 200 inputs. As to the extent and detail of them, I’m not across-
CHAIR – So, it’s been put to you by ANMF year after year.
Mr ABETZ – We are looking at increasing the efficiency and productivity of our public service and I’m sure that every taxpayer would understand and accept that’s a reasonable and good thing to do.
Ms O’CONNOR – Sure, some of them, for example, include things like taking Milo out of the hospital so doctors and nurses who are doing double shifts can’t have a Milo in their break, but anyway.
Mr ABETZ – I think that was in the media at some stage and was debunked or I hope it was debunked.
Ms O’CONNOR – I’ve actually spoken to staff at the hospitals. It’s not debunked. These out year numbers that’s $150 million, is it in savings year on year? Is that what I’m looking at here in the productivity and efficiency?
Mr SWAIN – It’s a permanent reduction of 150, not a one-off in a given year.
Ms O’CONNOR – Permanent reduction of $150 million in expenses –
Mr SWAIN – Coming out of the base effectively.
Ms O’CONNOR – Is it your expectation that these savings come from FTE reductions primarily in order to achieve that level of savings?
Mr ABETZ – From across the board.
Ms O’CONNOR – An efficiency unit has not yet presented to government. What is the makeup of these projections in the out years?
Mr ABETZ – No, they haven’t yet.
Mr SWAIN – This is a new unit that’s been set up in in DPAC, Treasury will work with that unit collaboratively to look for savings. There will be a repair pathway that’s allocated to all agencies. And all agencies will have their individual targets. This unit will either whether there is identified savings that can be pursued in a big agency or opportunities looking across government. It will complement the work that accountable authorities each have to do in relation to their own targets.
Ms O’CONNOR – When you say accountable authorities, you mean secretaries of agencies?
Mr SWAIN – Yes, the agencies themselves. I was just going to make the point that this saving doesn’t occur until 2027-28. We’re still effectively in the planning stage of how you’re going to achieve these savings.
CHAIR – We do need to wrap up.
Ms O’CONNOR – It would be fair to say then this figure is at the moment maybe an educated guess, but it’s guesswork.
Mr SWAIN – It’s a target.
CHAIR – Thanks, Treasurer, we’ll wrap it up at this point.
