Public Sector Labour Relations in Western Australia – An Overview

The election of a LiberalNational Coalition government in 1993 heralded a period of significant and sustained change in Western Australian public sector labour relations. As legislator, the Coalition government embarked upon a program to decentralise and deregulate the Western Australian industrial relations system; as an employer, the government has had to respond to the economic imperatives which have faced most employers in recent years. The result has been a period of major change in the public sector – employment levels have declined as services have been privatised or contracted out; the proportion of non-permanent and part-time employees has risen significantly. Individual workplace agreements have been introduced; individualised performance-related management and reward systems have increased; and the scope for union involvement has diminished, as has the level and density of union membership. The experience of the public sector therefore reflects many of the workplace changes that are also found in the private sector. It also brings the government's industrial relations policies into sharper focus.     

A Healthy Public Service is a Vital Part of Australia''s Democratic System of Government

This article outlines and explores the differences and connections in the ideas underpinning the reform of public institutions in Australian society over the past two decades. In particular, the article asks whether public institutions have been renewed or eroded through the changes of the 1980s and 1990s and whether the changes were as inevitable as some advocates and analysts claim. Some ideas and theories appropriate to the future role of government and public institutions in Australia beyond the current consensus are explored. The article offers afresh analysis of public sector reform in Australia and contributes to the ongoing debate about alternatives.     

The impact of parties,economic growth,and public sector expansion: A comparison of long-term dynamics in the Scandinavian and Anglo-American democracies

Abstract. This paper discusses (1) the extent to which the partisan composition of government affects economic policies and macroeconomic outcomes, and (2) the interrelationship between public spending, taxation and economic growth. These two issues are connected. Since target variables and instruments affect each other reciprocally, the specification of the partisan model should encompass both a reaction function and an outcome function. A pooled vector autoregressive model suggests that during the last century left–wing governments in the United States, Britain and Canada have reinforced the growth of both public spending and GNP. Only public sector expansion is affected by partisanship in Denmark, Norway and Sweden. In the Anglo–American countries changes in spending occur before changes in economic growth in terms of a lagged crowding out effect. Spending and revenues appear to affect each other reciprocally. By contrast, public sector expansion in Scandinavia stimulates growth, while taxation leads spending.     

Are Leftist Governments More Generous Toward Public Sector Employees? Evidence From Canada, 1967–1984

This article tests the hypothesis that leftist governments concede higher wage increases to their public sector employees than right-wing governments. Leftist governments are expected to be more generous toward public sector employees because of their commitment to public sector intervention, and because of the heavy representation of the public sector among leftist party elite and clientele. The study examines all major wage settlements signed between 1967 and 1984 in the Canadian provincial public sector and finds that, everything else being equal, wage increases are 10% higher under leftist governments. The standard economic variables (labor demand, expected inflation and spillover from previous contracts) that have been shown to affect wage increases in the private sector also emerge as significant. Finally, the data indicate that the greater the public debt the more constrained governments feel to negotiate minimal wage increases. These findings establish that a proper understanding of public sector labor relations requires a consideration of political as well as economic variables.     

The provocative public sector: Domestic political protest and public sector growth in the OECD, 1965–1982

The results shown in Tables 1 through 8 above are consistent in that %GG is repeatedly shown to be significant whether making cross-national comparisons of DPP or predicting intra-national variations over time. Therefore, Hypotheses 1a and 1b are confirmed. The confirmation of Hypotheses 2a and 2b shows that, taking into account public sector size, government growth is most provocative in countries where it represents a major socio-economic change (i.e., where the public sector is small). Government growth has a neutral impact where the role of the public sector is long-established (i.e., where the public sector is large).Hypotheses 3a and 3b posited that average and annual rates of economic growth would be inversely associated with domestic protest. These hypotheses, too, were confirmed. The belief that economic growth rates would clearly provide the margin of affordability for public sector growth was not confirmed, as the coefficient of the interaction term (%GG*%GDP) was not statistically significant.     

Austerity Policies,the UK State and the Energy Utilities: a Changing Paradigm or Business as Usual?

In 2008, the economic downturn coincided with a major shift in the energy sector paradigm. This state of emergency forced the UK government to try to steer the objectives of its major energy players. This crisis put the UK state's capacity to influence its mostly privately‐owned energy sector to the test. Using the example of energy utilities, this article aims to explore whether the austerity agenda impacted the relationship between the UK state and its public services. The purpose is to determine whether current multiple crises have forced the UK state to adopt an exceptionally interventionist approach that doesn't tally with the austerity agenda, or whether these crises merely revealed dynamics which had been underlying in the management of its energy utilities since the beginning of the neo‐liberal era.     

The Curse of Sisyphus: Public Sector Audit Independence in an Age of Economic Rationalism

Consistent with the economic rationalist philosophy which now pervades the decisions and policies of all Australian governments, the persuasive aura of competitive markets has been used to justify the provision by the private sector of an increasing range of public services. Governments who have been consistently antagonised by the findings of the auditor-general are now attempting to use the arguments for competition in the public sector to diminish the stature and role of the auditor-general. In place of audit models which are based upon an auditor who is able to conduct audits on behalf of parliament, the auditor-general is to be increasingly isolated from the means to audit. This represents the onset of a radical interpretation of public sector audit which will usher in the last days of an independent public sector audit function.     

THE TRIUMPH OF ECONOMIC RATIONALISM: THE TREASURY AND THE MARKET ECONOMY

The 1980s have seen the triumph of economic rationalism. Greater efficiency has become a sacred goal. Increased competition and the unlocking of market forces, we are told, are the key means to obtain it. Proponents of economic rationalism insist that the public sector is riddled with inefficiencies. The private sector, by contrast, is self-evidently superior. To the extent that the private sector often operates less than optimally, a major reason is the plethora of perverse governmental regulations which hamper its efficiency. Despite the problems, the public sector needs to model itself wherever possible on the private. And where public sector activities can be or are being done in the private sector, then the public sector should surrender such activities. The inevitable result will be an increase in net economic welfare: the economy will become more dynamic and scarce resources will be allocated more efficiently. Such is the rhetoric of the economic rationalists.     

A MANAGERIALIST STRIKES BACK

Abstract : In view of a rather one-sided recent debate, "managerialism" in bureaucracy calls for a defence. The alternate paradigm, which is said to turn on legal as opposed to economic rationality, has not been systematically dealt with by the anti-managerialists. The functions to which it refers have always in practice been only a small element of public sector activity. The new artifacts of administration are properly viewed as a public sector reflection of wider thought on organisations and quality of working life. They have some common origins with contemporary private sector practice rather than being derived by copying the private sector. Management and policy skills are not mutually exclusive; indeed the contrary is true. Finally, in relation to broadly accepted ethical norms, modern public administration compares well with that which has gone before.     

Commercialisation of state government legal services

Most people who have worked in the public sector for over a decade have experienced dramatic change in the way they do business. For some, the change has been rapid. Others have been able to hold onto traditional methods. One area of business steeped in tradition is the area of legal services. In the Queensland public sector, current changes in the way in which legal services are provided reflect many of the changes that have already occurred in other business units. We should learn from the experiences of others, tap into the needs of those utilising legal services and reflect upon the importance of those traditional values. This article argues that the time for a comprehensive and transparent review of legal services in the Queensland public sector is now.     

The Changing Public-Private Infrastructure Mix: Economy-wide Implications

This article provides an economy-wide perspective on the changing role of the public sector in developing economic and social infrastructure in Australia. It analyses the scale and macroeconomic significance of the key economic and social infrastructure sectors — communication services, electricity, gas and water supply, transport, education, health and community services, government administration and defence. It then canvasses the major policy issues that have arisen in the progression from public to private infrastructure provision and considers why concerns about the trend fall in traditional public works spending may be misplaced in light of recent economic and institutional changes.     

Information Technology Outsourcing by State Governments in Australia

Outsourcing of IT services is being undertaken at a rapid rate within the public sector in Australia. This paper investigates the adoption of this practice by a sample of state government enterprises and departments from South Australia, Victoria and New South Wales which have tendered long-term IT outsourcing contracts.
The motivation, decision-making process and extent of outsourcing are examined in further detail. In addition, the tendering process, contract and risk management are investigated to determine whether consideration has been given to the full economic costs involved in entering into longer term contracts.     

Public Debt,Economic Growth,and Public Sector Management in Developing Countries: Is There a Link?

The article investigates whether differences in public sector management quality affect the link between public debt and economic growth in developing countries. For this purpose, we primarily use the World Bank's institutional indices of public sector management (PSM). Using PSM thresholds, we split our panel into country clusters and make comparisons. Our linear baseline regressions reveal a significant negative relationship between public debt and growth. The various robustness exercises that we perform also confirm these results. When we dissect our data set into “weak” and “strong” county clusters using public sector management scores, however, we find different results. While public debt still displayed a negative relationship with growth in countries with “weak” public sector management quality, it generally displayed a positive relationship in the latter group. The tests for non‐linearity shows evidence of an “inverse‐U”‐shape relationship between public debt and economic growth. However, we fail to see a similar significant relationship on country clusters that account for PSM quality. Yet, countries with well‐managed public sectors demonstrate a higher public debt sustainability threshold. Copyright © 2015 John Wiley & Sons, Ltd.     

Hypotheses on the Italian administrative system

Why is the private economy in Italy thriving, while the public sector is so poor? This article spells out the general characteristics of the structures and procedures of the public sector and outlines the criteria on which to judge its efficiency in order to proceed to the presentation of four explanatory hypotheses.

The first hypothesis is an economic one: the private sector may have exploited the public sector, which bears costs that are to the direct advantage of the private economy. The second hypothesis is social: the public sector is poor because it is a means of taking on labour from the underdeveloped South, becoming in this way a social buffer. The third hypothesis is political: the administration is used to secure political support for the ruling parties (and in particular, for the Christian Democratic Party). The fourth hypothesis is historical: the administration is badly run because, as a result of the Fascist experience, Italians fear any form of ‘Bonapartism’: and it is badly organised because the public sector's take‐off has been delayed and the pace imposed on its development has been excessive. In the last section some remedies are suggested and some conclusions are outlined.     

Internal audit public sector capability: a case study

Internal auditing is an essential part of governance and can be a valuable asset to public sector institutions. However, for public sector internal auditing to effectively support management, the internal audit function (IAF) should be capable. The question arises as to how the capability of public sector IAFs can be measured. The Institute of Internal Auditors Research Foundation published the Internal Audit Capability Model (IA‐CM) in 2009 to provide a capability self‐assessment tool for public sector IAFs. The main objective of the study is to determine whether the IA‐CM can be used successfully to measure internal audit capability levels, and a secondary objective is to determine whether the tool can be successfully adapted for a specific public sector organisation and/or country. To achieve these objectives, the model was applied in a South African public sector organisation by means of a case study, where the IAF of the case was ranked against the key process areas (KPAs) of the model. The ranking was conducted based on a documentary review and interviews with applicable officials within the case. The model was successfully tested in measuring the internal audit capability level of a South African public sector organisation; however, a total of eight potential feasibility hindrances or considerations have been identified that could negatively affect the implementation of seven of the KPAs of the IA‐CM. Copyright © 2015 John Wiley & Sons, Ltd.     

Not All Bad News After All? Exploring the Relationship Between Citizens’ Use of Online Mass Media for Government Information and Trust in Government

Mass media coverage of government is often blamed for inciting anti-public sector sentiment. Yet there have been few empirical assessments of these claims. To address this gap in the literature, this study examines whether relationships between citizens’ expectations of public sector performance, satisfaction with public services, and levels of trust in government vary according to their use of online mass media for information about government. Using data collected in 2012 from a survey of 1,100 Seoul citizens, we find that greater use of online mass media to obtain information about government reinforces negative relationships between (1) expectations of public sector performance and satisfaction with public services, and (2) expectations of public sector performance and trust in government. Moreover, the size and strength of the negative indirect relationship between expectations of public sector performance and trust in government increase as respondents use online mass media more frequently for information about government.     

From Uniformity to Diversity? Reinventing Public Sector Industrial Relations in New Zealand

Since 1988 industrial relations in New Zealand's public sector have changed significantly. This paper discusses the changing roles of the State Services Commission and chief executives in bargaining with public sector employees, and how these changing roles have affected union representation and wage rates. While the Employment Contracts Act, 1991 resulted in changes to bargaining, generally its effect was minimal in the public sector with respect to bargaining outcomes. However, one of the more significant changes as a result of the Employment Contracts Act has been a move to direct employer — employee negotiations. Bargaining in New Zealand's public sector has moved, in the last nine years, from uniformity to diversity, but to what extent?     

A Changing Public Sector: Developments at the Commonwealth Level

Over the last three decades the federal public sector has been the focus of government policies aimed at recasting federal public sector employment arrangements from a structure characterised by a considerable autonomy from government to a set of institutions more responsive to government direction; and more recently to a regime marked by considerable operational autonomy within a framework of substantive and substantial government control. These developments had the consequence of promoting a more explicitly managerial employment framework and a more individualised workforce. As part of this process the federal public sector was reorganised as a series of agencies. These 'managerial agents' of governments were authorised to secure more effective employee compliance with these changes. A key element in this process is the response of public sector unions to these developments and the way they have both contributed to, and been affected by, the construction of a more explicitly managerial public sector.     

Re-evaluation of the Importance of the Public Service: Tasmania's Collaborative Program

In considering what should be the role of government in a community like Tasmania we need to understand the context within which we are working. We are a small population that is almost without exception a branch economy. No major corporations are based here – we have branch offices or divisions of major companies. We lack a managerial class – headquarters and management staff are based elsewhere – decisions made by the level of management based in our state do not take the welfare of the state into account. Our private sector does not have the capital and quite clearly the capacity to take up the challenge posed by a reduction of government services or a contraction of services. When public sector jobs are cut in Tasmania they stay cut. The private sector does not step into the breach and create jobs. Tasmania has always relied, to a large extent, on the public sector for its economic viability – with the contraction of public sector funding, the viability of the state's economy has been seriously eroded.     

US state government privatization: Implications for social equity and inequality?

Privatization of state government services is commonplace, but our understanding of its effects is limited by data availability. We study the relationship between American state government contracting and public sector wages. Governments have used public sector employment to support a variety of goals, including social equity and economic development, but privatization, as a new public management (NPM) reform, may shift the focus. Our empirical analysis shows that state privatization of service delivery is associated with decreases in the public sector wage premium, but that these effects are not driven by gender, race, or low-levels of educational attainment. The fidelity of the implementation to NPM values conditions these effects. We also find that contracting service delivery is associated with a lower public sector wage premium for middle-class workers.