Government Efficiencies Mean Real Savings

01 April 2013

Figures released today show the Government is saving millions of dollars by reducing travel and choosing cheaper fares.
The Whole of Australian Government Air Travel Arrangements 2012-13 Half Year Results show that, compared to the same time last year, the amount spent by government agencies on travel has decreased by $54 million (22 per cent), to $193 million. The volume of air travel has also decreased by 17 per cent.
The Gillard Government is committed improving efficiencies in the public service and these figures are evidence of the real savings being made.
These savings have been achieved by booking domestic travel further in advance, selecting lower priced less flexible fares and using online booking tools rather than a travel consultant.
The reduction in volume of air travel also shows that agencies are using other methods of conducting their work without requiring travel, such as through telepresence facilities.
Since Labor came to Government, over $13 billion in public sector savings have been achieved, including in travel, hospitality and IT.
Specific examples include:
  • Smarter approaches to travel, which have saved $240 million;
  • Better management of Commonwealth ICT, which has saved more than $2billion;
  • More effective management of Commonwealth Property, which has saved $1.2billion; and
  • Dramatically reduced expenditure on government advertising which cost over $250 million in 2007, in the last year of the Howard Government.
The Gillard Government is requiring agency heads to prioritise spending across their organisations, with a focus on non-staffing expenditures.
This is in stark contrast to what would happen under an Abbott-led Government, whose only government savings proposal so far is to slash 20,000 jobs.