Victoria: the home of public sector fat cats

Data from Victoria’s Public Sector Commission shows that the number of executives employed in state government departments has risen from 675 to 1,471 since 2015. The total wages bill for senior public servants has also more than tripled from just $99.2 million to $327.5 million over this period, according an analysis of the annual reports of government departments.

In particular, the number of executives in the Department of Premier & Cabinet has increased from 41 to 170, and their total wages bill has risen from $9.2 million to $33 million.

This comes despite Labor committing to cutting the number of senior public servants before it took office in 2014.

From the Herald-Sun:

These figures also show the growth in the number of executives in government departments has vastly outstripped growth in public sector agencies such as the TAC, police and emergency services…

According to DPC’s 2014-15 annual report in 2015, there were 41 DPC executives who between them were paid $9.2m. This year’s annual report says there are now 170 executives in DPC who between them are paid $33m.

In Labor’s first year in office there were 421 full-time positions within DPC. By this year had more than doubled to 1016.

Yet before the 2014 state election, Labor pledged to save $39m over four years by dropping the executive headcount.

The party’s then finance spokesman Robin Scott complained that “as the Liberal government has sacked Victorian public servants, the ratio of executive officers to Victorian public servants has increased, meaning there are less employees per executive”.

Since then that ratio has increased. In 2015, executives made up 1.8 per cent of the Victorian public service. According to the latest PSC figures, by last June it was 2.9 per cent.

While since 2015 the total number of executives across all the whole public sector has risen by 30 per cent, the number of top public servants in central departments has increased by 117 per cent.

The hotel quarantine debacle showed that Victoria’s public service is bureaucratic, expensive rabble.

Rob Sitch where are you? We need another season of Utopia.

Unconventional Economist
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  1. Being a Queenslander, you sometimes get the feeling NSW / VIC are stealing all the Federal Funding for themselves.

    They seem to tie up all the power for themselves and neglect the rest of the Nation. I havent seen it so much with VIC but NSW, definitely. Australias a big Country. Sometimes it just seems like there’s only two states ever being heard.

    They then have the gall to turn around and accuse everyone else of not running there affairs appropriately. I think people see this… and I dont think people from the other states like it.

    Im not surprised WA wants to divorce itself from the Federation. I think every other State who isnt NSW/VIC wants to divorce itself from the Federation.

    I think all the other States must get sick of the charade between NSW/VIC. Its very entertaining but it never seems to see any money go to the places where its needed most.

    With all this Interstate Migration into Queensland, someone mentioned the other day, ” How will Brisbanes water supply handle it? “. I thought that was a very interesting question. Queensland was on the verge of water supply problems a few years ago. Brisbane laid pipelines to drain everyones water into Brisbanes CBD Dams ( an unpopular decision in the regions ). I’ll be interested to see what problems this huge increase in population causes. I dont think Queensland has been built for this.

    • Know IdeaMEMBER

      Constructing a society around a game of football does seem to have some unfortunate side effects. Constructing one around the Rum Corps has a whole set of other side effects. It is not overly clear that one is better than the other, they are just different.

  2. Having worked in a State Treasury can I say that DPC is a useless central agency. But being a central agency it loves creating things for it to manage and it just grows and grows – full of people that take credit for other work and come up with ideas but do nothing. You could sack 90% of DPC and no one in the state would bat an eyelid – everything would keep working.

    • working class hamMEMBER

      The upside down pyramid, is a classic govt sector business model. So many positions with titles that took longer to make up, then the actual work they produce. The nature of management in these departments basically ensures a 4 year renaming cycle of procedures, never actually changing anything, whilst constantly forcing new acronyms upon frontline staff in the guise of efficiency.

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