800 public sector jobs to go in hunt for savings

By 2009 State Budget by Peter Wels Chief Political Reporter
Updated October 31 2012 - 2:48pm, first published June 11 2009 - 1:54pm
Treasurer Michael Aird at a press conference after delivering the state budget. Picture: PAUL SCAMBLER
Treasurer Michael Aird at a press conference after delivering the state budget. Picture: PAUL SCAMBLER

UP TO 800 jobs in Tasmania's public sector will be lost, with Treasurer Michael Aird yesterday outlining plans to save more than $760 million in departmental spending over the coming four years. At the beginning of next month, departments will be calling for expressions of interest for voluntary redundancies - in an effort to achieve around 800 job cuts, saving $200 million. Those savings would be achieved through a series of measures including targeted voluntary redundancies, vacancy control, early retirement, secondment to the private sector and phased-in retirement. "We've got around about 28,000 people involved in the state sector - it (the 800 jobs) is a relatively small number... we have to achieve these levels of savings," the Treasurer said. The only department that has confirmed how many jobs are set to go is Health and Human Services, Health Minister Lara Giddings yesterday saying up to 250 jobs would be cut. These include 185 non- service delivery positions in Health, 35 central agency positions and 30 positions in Human Services. And while existing pay agreements will remain, departmental spending on salaries will be increased by only 1 per cent in 2009-10 and 2010-11, increasing by a further 2.5 per cent over the following two years. Other new cost-cutting measures outlined by Treasurer Michael Aird yesterday include: •A review of middle management within government departments. •A wage freeze on MP's salaries for the next year. •A wage freeze on salaries for members of the Senior Executive Service and departmental heads. Treasurer Michael Aird said that in total, savings provided through the State Government's cost-cutting measures would reach about $760 million over the coming four years. He said it would be up to individual departmental heads to determine where jobs could be cut through targeted voluntary redundancies - warning that the departmental savings must be made. "No head of agency or anyone would like to face the task that's ahead of them, but they have to manage - they all have to manage," he said. "The Expenditure Review Committee will be very active in ensuring the savings we've met will be achieved." The Community and Public Sector Union's Mat Johnston said he was confident that the union could work with the State Government to achieve the savings without the full 800 job losses. "We're hopeful, but it's going to be a difficult time," he said. "We will be working closely with agencies to try and find as many savings as we can, and minimise the number of job losses across the sector."

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