The Greens are calling on Labor to follow their lead in committing to reducing the government's spending on external consultants by 15 per cent each year over the next five years.
Treasurer Jim Chalmers and Finance Minister Katy Gallagher yesterday revealed Labor's election policy costings, which included a claimed saving of $6.4 billion through the reduced use of consultants and labour hire.
The outsourcing of government work reached record levels under the Morrison government, which critics attributed to a cap on public service hiring.
Labor says about 12,000 of the extra 41,000 public servants it has added to the federal workforce since taking office were simply converting labour hire jobs to permanent positions, ultimately saving the taxpayer money.
However, the Greens say the government hasn't followed through on its accompanying promise to slash spending on consultants, pointing out the total spend in 2023-24 was $643 million, just $40 million less than the Morrison government's total in 2021-22.
"All this talk about getting rid of consultants from the public service is just a smoke screen for business as usual," Greens senator Barbara Pocock said this afternoon.
"There has been a reduction in contracts going to the Big four — PwC, KPMG, Deloitte and EY — but instead of bringing that work back into the public service, the government has simply outsourced nearly all of it to smaller consulting firms.
"... Government departments have become so reliant on the consulting industry that only mandated targets to reduce outsourcing will get the results needed."