The Government's response to the Workforce Australia Employment Services Report marks a significant shift in policy direction but lacks a comprehensive plan to transition to a Commonwealth employment service, according to the Community and Public Sector Union (CPSU).
The CPSU is pleased to see the government's commitment to a greater role for the APS in service delivery. The insourcing of some employment facilitation roles and piloting of different place-based approaches to employment services in Broome and the City of Playford are positive initial steps.
However, it has taken the government more than 7 months to release this response, and they must not continue to delay action.
The union is calling on Albanese Labor Government to lay out a comprehensive plan to move away from the current failing employment services system and to immediately suspend mutual obligations.
Background
The CPSU started the campaign to create a modern and fit for purpose Commonwealth Employment Service (CES).
The union has argued that the current system, which is projected to cost taxpayers $9.5 billion over the next 4 years, is dominated by only a handful of multinational companies and fails to do the job it is tasked with.
The Rebuilding Employment Services Report, which was handed down in November 2023, backed in the CPSU's calls for the public service to be put back at the heart of the employment services system, recommending that the government develop and publish a plan to transition to a Commonwealth Employment Services system.
In its submission to the Inquiry into Workforce Australia Employment Services, the CPSU recommended:
- The Commonwealth Government take an in-principle decision to end the use of for-profit employment services, noting the conflict of interest inherent in a for-profit system.
- The Commonwealth Government take an in-principle decision to rebuild a public sector based employment service.
- That while there are a number of possible models for a rebuilt public sector service; the best option is to rebuild a new modern CES, supplemented by specialist community-based services, to provide enhanced support to jobseekers and rebuild APS skills and capacity.
- The Commonwealth Government take steps to increase the number, range and location of entry level jobs in the Australian Public Service.
- The immediate suspension of mutual obligations, noting it is a punitive system that does more harm than good.
Quotes attributable to Melissa Donnelly, CPSU National Secretary:
"The Government's response to the Rebuilding Employment Services Report is a significant shift in policy direction and acknowledges the need for a complete overhaul of our employment services system.
"The CPSU is pleased to see the Government's commitment to an increased role for the APS in service delivery, including piloting of place-based approaches to employment services, however a more comprehensive roadmap is required.
"Seven months after the release of the Parliamentary report into Rebuilding Employment Services, further action must not be delayed.
"Jobseekers and businesses cannot afford lengthy delays in transitioning to an effective Employment Services system - this is urgent because not only is this system failing, but it is also causing harm.
"The CPSU started the campaign to insource employment services, and our calls for insourcing have always come alongside a call for the immediate suspension of mutual obligations requirements.
"Today, we renew that call.
"Jobseekers shouldn't continue to suffer at the hands of a failing system because of time delays.
"The CPSU calls on the Albanese Labor Government to lay out a comprehensive plan to move away from the current failing employment services system and to immediately suspend mutual obligations.
