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Legislative Assembly for the ACT: 2001 Week 1 Hansard (14 February) . . Page.. 92 ..


MR OSBORNE (continuing):

seated change to the structure of the senior levels of the public service will discourage similar failure in the future.

This legislation does not deal with some of the problems caused by outsourcing, which is more of a matter of ACCC constraints, government policy and internal purchasing procedures. However, what this bill does is provide a pathway back to a career public service. This is an important change, as there is a growing body of evidence nationwide showing that performance-based executive contracts can and do hinder the work of executives and the overall standard of governance.

In 1999, the South Australian Auditor-General conducted a performance audit of the executive contract system operating in that jurisdiction. The questions at hand were: are such contracts value for money and what effect (positive or otherwise) do they have on governance?

Some of the Auditor's conclusions were:

The 'emphasis on accountability and outcomes' may suggest to some that 'process' is no longer an issue. In my opinion, it is important that recognition be given to the need to maintain sound and defensible 'processes' in the achievement of 'outcome/results'. Where there is not proper balance between 'inputs and processes' and 'outputs and outcomes' there is a real risk that all relevant issues will not be adequately considered before decisions are made. Any inadequacy in this regard does not advance the cause of good government.

The primary and only duty of those holding public office is to 'properly safeguard the interests of the public'. The obligations of the public servant are in many ways a reflection of the responsibilities of government generally to the public trust. The interests of government do not exhaust the public interest. Any administrative framework which has a negative effect on continuing public confidence in government arrangements is clearly, in and of itself, not in the public interest.

The factors necessary as a precondition to the ability to act in the public interest are:

  • independent judgement;
  • integrity;
  • appreciation of public values;
  • absence of conflicts of interest;
  • respect for constitutional and legislative arrangements;
  • knowledge of the law;
  • freedom from undue influence of any sort.

The presence of all these factors will not guarantee that a public servant will act in the public interest, but the absence of any one of these factors will call the integrity of the whole administrative framework into question.

The Auditor includes a quote from a study undertaken in 1997 for the Institution of Public Affairs (ACT Division) that had interviewed over 20 past or serving Commonwealth government secretaries. The authors of the report concluded:


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