The Greens will take to the election a proposal to abolish the outsourced workplace services system and create a government agency to place job seekers into work.
In a return to the Commonwealth Employment Service, which was abolished in the 1990s, the Greens are proposing a greater role for the public sector in finding work for those unemployed.
The policy, to cost $3.6 billion over four years, would create thousands of public sector jobs, and be open to those in work seeking to change roles, and unemployed people.
Workforce Australia currently costs the government about $1.2 billion each year, according to 2022 costings from the Parliamentary Budget Office.
Greens social and government services spokesperson Senator Penny Allman-Payne said the current privatised employment services system was "costly, ineffective and cruel".
The Rebuilding Employment Services report, delivered in 2023 by committee chair Labor MP Julian Hill, recommended a greater role for the Commonwealth in delivering employment services, after finding extensive flaws in the current system.
The committee recommended establishing Employment Services Australia as a public sector body.
While the government did not follow through on this in its response, it committed to trialling public servant-delivered services in regional areas where the private sector was thin on the ground and to groups that had specific needs.
Greens public sector spokesperson Senator Barbara Pocock said the public service needed to take the lead role in delivering employment services.
"The shortcomings of this failed system have been adequately documented over many years and it's now time to bring the management of employment services back into the public service."
The Greens are calling for a permanent end to this system and for additional Centrelink staff to cut down phone wait times for social security and welfare calls.
Earlier this year, the Department of Employment and Workplace Relations had to suspend the mutual obligation system - where jobseekers are required to complete tasks to receive their benefit - due to an IT error.
"Multiple ongoing technology issues have rendered the system almost inoperable," Senator Allman-Payne said.
"We'd be better off doing away with the system altogether rather than continuing to throw good money after bad on something that is costly to administer and completely counterproductive."
Greens candidate for Canberra Isabel Mudford said a rebuilt public sector job agency would deliver better outcomes.
"Reinstating the Commonwealth Employment Service will restore compassion and integrity to our employment services, so that unemployed workers and employers get the support they need."
