Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Hansard source

Thank you for asking me a question about Budget Paper No. 4. That is the budget paper that Finance has responsibility for. We have worked hard to make conversions, as you say, and to reinvest and put increased capability into the Public Service. What we did find out from the audit on employment was that the real size of the APS when we came to government was much larger than had been publicly reported, so we are taking steps to rebalance it and to put public servants into jobs that labour hire had done.

In the last budget, I think the savings were in the order of $800 million in terms of the conversions that were being made. In this budget we're finding a further billion dollars in reductions to agencies' departmental expenses because of the investments we're making in the Public Service. Obviously, we are making additional investments in the Public Service for additional responsibilities that they have, but what we're doing is painting a very honest picture of the price of delivering improved services.

Those opposite, I know, are going to do what they always do and say they want a smaller Public Service, but they should then explain why 41,000 veterans who didn't have their claims allocated now have their claims allocated and now are getting access to pensions. It's a direct result of our investment in the Australian federal Public Service. We weren't seeing those results, whether it was in Immigration, DFAT, Services Australia or Veterans' Affairs. We see that on the payments side now because veterans are getting access because they are being dealt with. Because they've got public servants dealing with their claims, they are getting access to the money that they deserve.

So it's a piece of ongoing work, Senator Roberts. If there's further information I can provide to you, I will. But we are finding savings from the program at the same time that we're making additional investments.