Cory Bernardi (SA, Liberal Party) Share this | Link to this | Hansard source

My question is to the Minister Assisting the Prime Minister for the Public Service, Senator Abetz. Can the minister inform the Senate of the wage rises received by Commonwealth public servants over the last decade and how they compare to other benchmarks?

Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source

I thank Senator Bernardi for his question and acknowledge his commitment to a sustainable Public Service. I can advise him that Commonwealth Public Service wage rises have beaten inflation in nine out of the last 10 years. In 2012, Public Service median wages increased by 5.9 per cent compared to inflation at 2.2 per cent. In 2009, Public Service median wages increased by 6.4 per cent compared to inflation of 2.1 per cent. In fact, over the last decade, Commonwealth public servants have received annual median wage increases totalling 42 per cent, well above CPI increases totalling 28 per cent.

Senator Lines interjecting—

Stephen Parry (President) Share this | Link to this | Hansard source

Senator Lines, you have asked your question.

Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source

However, as a result of the $123 billion of prospective deficits and $667 billion gross debt this government inherited from Labor, there is now minimal capacity for wage increases for public servants. Public Service wages are paid for by taxpayers. They need to be affordable, sustainable and in line with community expectations.

Senator Lines interjecting—

Stephen Parry (President) Share this | Link to this | Hansard source

Senator Lines!

Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source

The 12½ per cent pay rise being sought by the CPSU is none of these things and jeopardises 10,000 Public Service jobs. The CPSU national secretary has twice acknowledged that, and I quote her: 'There are no easy savings left.' It is important to set an example, which is why remuneration for MPs and senior Commonwealth officeholders has been frozen and previously determined pay increases will not proceed. I am confident that most Public Servants understand the present situation. Mr President, I table a document showing media APS wage rises compared to CPI increases, and I note I do not need leave.

Stephen Parry (President) Share this | Link to this | Hansard source

Thank you, Minister. Senator Bernardi?

Cory Bernardi (SA, Liberal Party) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. I thank the minister and I ask him if he can advise the Senate of the reasons the CPSU has given for taking industrial action in the Department of Human Services this week in support of its unsustainable 12½ per cent wage claim, and whether these claims are valid or even consistent?

Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source

The CPSU is giving one reason to the public for taking industrial action while telling DHS employees quite another. CPSU members have been instructed to read a text out to the public, saying that they are taking action because: 'Government has cut many thousands of Public Service jobs over the last 10 years while nobly claiming that they are fighting for safer workloads and better services for you.' However, in internal DHS emails to other staff, CPSU members have been instructed to claim that they, 'reject the government's pay offer and are taking industrial action to support a fair and reasonable agreement for all DHS workers'—ending with a plea to join the CPSU. Both claims are false and show the CPSU is being two-faced; pretending to the public to be acting on the public's behalf, while pursuing an irresponsible wage claim. (Time expired)

Cory Bernardi (SA, Liberal Party) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. Is the minister aware of claims that outsourcing is threatening Public Service jobs? Are these claims true and are there any Public Service functions being outsourced? If so, is the minister able to explain the reason?

Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source

I am aware of such claims by both the CPSU and Senator Cameron, who claim records management outsourcing at Centrelink could lead to job losses. The outsourcing of records management at Centrelink was in fact set in train under Labor and will not lead to job losses. As far as other outsourcing is concerned, I can inform the Senate that the CPSU has used its own members' money to outsource to a private election company the ballots for protected action both at the Department of Human Services and Department of Veterans' Affairs. This is unbelievable given that the Public Servants at the Australian Electoral Commission could easily and would normally have conducted both ballots. To quote a letter from an AEC employee: 'CPSU members in the AEC are really annoyed at this slap in the face from their union. Some have resigned in protest. There is no excuse for this hypocrisy.' (Time expired)