Page 1950 - Week 07 - Tuesday, 27 June 2023
MR GENTLEMAN: We have a policy of secure local jobs right across our framework but also in construction, wherever we can. Certainly, we will be looking at the opportunity to provide employment for Canberrans.
Financial Management Amendment Bill 2021 (No 2)—government-owned corporations
MR BRADDOCK: My question is to the minister for industrial relations. Minister, I support the insourcing framework as a way of developing the ACT public service to have the skills and capabilities to meet the challenges that face us. As part of the Financial Management Amendment Bill 2021 (No 2), I am interested in why the legislation was drafted to exclude government-owned corporations from the framework.
MR GENTLEMAN: I thank Mr Braddock for the question. I will go to the insourcing framework first. It has been introduced as part of the government’s commitment to promote the wellbeing of the ACT community by providing more secure employment. I am very pleased that Mr Braddock is supportive of that. The framework has seen the introduction of new ACT procurement practices through the Secure Local Jobs Code. As a further element of that framework, the government has committed to implementing a whole-of-government policy that government services will not be contracted out where they could be performed by public servants. The insourcing framework gives effect to that commitment.
I will go to the Territory-owned Corporations Act. That outlines the main objective for such corporations as being to operate at least as efficiently as any comparable business, and to maximise the sustainable return to the territory on its investment in the corporation in accordance with performance targets.
The government’s focus, in establishing an insourcing framework, does not relate to the efficiency or the maximising of sustainable returns; rather, there is a focus, in secure employment, on the wellbeing commitments as well. Because the intent of the government’s insourcing framework goes beyond the legislative object outlined for the TOCs, the government did not consider it to be appropriate to require these corporations to apply the insourcing framework.
However, there is nothing preventing those territory-owned corporations from applying the insourcing framework, should they wish to assess the viability of insourcing a service or works prior to making a decision to pursue a procurement.
MR BRADDOCK: Minister, does the government want government-owned corporations to prioritise insourcing practices?
MR GENTLEMAN: As I said, the policy does not go to those TOCs. It has a different framework on efficiency and viability. We do not have a position there. Of course, should those territory-owned corporations wish to do that, they can access the framework.