Civil Service Legislation, Systems and Reforms Australian Public Service Mike Jones Senior Executive Advisor Australian Public Service Commission Jakarta

1. Australia: federal system of government 3 tiers of government Federal State Local Federal Australian Public Service - 146,000 staff other statutory & business agencies – 84,000 APS central government policy, regulatory, program delivery and funding roles Canberra (central), state and regional offices

2. Australian Public Service Commission The Commission is a central agency within the APS with a critical leadership role in contributing to the future capability and sustainability of the Service. Roles workforce & employment policy public sector research & evaluation ethics advice & case work (advisor & review) strategic HR consultancy services leadership & development programs MenPAN + BKN + LAN in a devolved environment.

3. Reforms Towards a high performing national public service efficient, effective and ethical services to community 30 years of reform and continuing Reform principles increased responsiveness to Government improved efficiency, effectiveness, devolution and results performance within a distinctive ‘ps’ ethical framework private sector standards to apply greater community participation in Government

4. Major Reforms financial management people management transparency and accountability government decision making

5. Financial management reforms open economy / floating of A$ in 1983 financial management improvement program 1984: let the managers manage rise of economic rationalists in the bureaucracy program budgets – medium term estimates, operating cost flexibility, programme evaluations devolved & flexible budgets efficiency dividends accrual-based outcome budgets 2000 – output and outcome performance information and reporting superannuation / pensions (defined benefit to defined contribution to choice)

6. People management & employment conditions reforms open & competitive recruitment and staff selection redeployment and retirement legislation 1979 Senior Executive Service 1984 simplified classification system 1987 performance pay for SES and middle managers 1992 productivity based centralised workplace agreement 1992 fixed term appointments for CEOs 1994 AWAs and agency workplace agreements 1997 values based legislation 1999 CEO as employer 1999 flexible terms and conditions of employment within budget (including classifications and pay) preference for collective rather than individual agreements 2007

7. Transparency & public accountability reforms Ombudsman Act 1976 Administrative Decisions (Judicial Review) Act 1977 Freedom of Information Act 1982 increased Parliamentary scrutiny of budget management and agency performance Efficiency Scrutiny Unit 1986 Public Service Board replaced by small Commission 1987 devolution of people management to agencies programme audits by Auditor-General Management Advisory Committee 1987 & 1999 customer service standards and charters Centrelink: one stop shop private sector competition in service delivery

8. Government decision making reforms Cabinet and coordination processes strengthened and streamlined cross portfolio problems – use of taskforces strengthened governance of statutory bodies and reduced number

9. APS reforms: some progress FromTo process & inputs account for outputs & outcomes distinctive ‘ps’ approachprivate sector & ‘ps’ values near-monopoly of policy advicecompetition in policy advice & service delivery mostly malediverse workforce secure employmentflexible employment, redundancy & outsourcing relatively closed employmentopen competitive system central control of personneldevolution of personnel decentralised budgets information & review for citizens

10. Reform outlook Reform is a continuous process: work in progress Enhanced capacity to: work across agencies work across different levels of government work across sectors (voluntary, private, academic) respond to community needs flexibly / simplify access integrated response to national challenges

11. APS legislation framework Public Service Act 1999 Jurisdiction central APS, including audit agency not Prime Minister, ministers, members of parliament, ministerial & parliamentary staff, GBEs, judges, military, police, teachers, state government or local administration Nature of legislation principles and professional standards authorize regulations, directions, procedures, delegations & actions no detailed procedures devolved responsibility / strong accountability

12. APS legislation framework Structure PS Act, regulations, Prime Minister’s Directions, Public Service Commissioner Directions, Agency Head procedures Coverage of legislation APS as an institution values and code of conduct (incl, conflict of interest) merit role of Public Service Commissioner role of Agency Heads, including as employer role of senior executive service responsibilities of individual public servants engagement & staff selection authorize classification, remuneration & conditions termination, retirement review of some actions Management Advisory Committee Not much detail

13. HRM system: position based entry at any level against specified job criteria 95+% of all jobs advertised as open open competitive merit staff selection system recruitment and staff selection fully devolved to agencies agencies responsible for organizational structures no prescribed training / some quals in professional jobs prescribed skills and competencies in job criteria agencies fund training APSC role as commercial training provider performance management: agencies, CEOs & staff

14. HRM system: grading single 12 level classification spine for reference purposes individual agency classification structures only barriers to jobs are skills and qualification requirements, eg management ability, law degree for lawyers agencies determine staff numbers against business needs (no multiplier formulae !) broad banding multi-skilling

15. HRM system: remuneration & financing APS staff primarily salary / generally performance based agencies determine salaries & allowances agency agreements: pay, conditions & productivity individual remuneration: senior staff about 1:12 ratio between bottom and top jobs salary advancement based on performance (agency & staff) agencies manage salary budgets “a janitor will not earn more than the Prime Minister, but a small number of agency heads do” moderating influences: agency budgets, reporting to parliament & committee appearances, comparative remuneration surveys & reporting, productivity gains, supply & demand but no standardization & considerable variation

16. HRM system: elected officials & public office holders A word on elected officials, public office holders, etc Remuneration Tribunal public processes and published pay & conditions surveys, submissions, hearings

17. HRM system: public service pensions defined benefits (closed, but grand parented) defined contributions choice community standard pension as % of salary (salary = bulk of remuneration, apart from lease vehicle & very minor allowances) defined benefits legacy partly funded from sale of the telephone company separate schemes for elected officials and state employees pension managed by a statutory body

18. HRM system: payroll & HRIS agencies choose & manage payroll & HRIS payroll & HRIS usually outsourced centrally determined date available from all significant HRIS data harvested from agency HRIS for whole-of-system reporting & analysis (SOS report) only collect data that is used agencies can access comparative reports from central agency

19. Conclusions different strokes for different folks our system is a product of our experience, context and reform history this is a point in time description: evolution is continuous learn from each others experience study, select, adopt and adapt