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| Shared Services Highlights Government Wasting $600 Million Annually |
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MEDIA RELEASE Wednesday 9 May 2007 Shadow Minister for Commerce Mike Baird today called on the Iemma Government to set a deadline for a review into Shared Corporate Services after it revealed it spent double the private industry standard in the area. The Government spent $1.29 billion over 2004-05 on Shared Corporate Services or 4 per cent of budget compared with a 2 per cent private sector equivalent. “This review is welcome but long overdue. The people of NSW have been wasting in excess of $600 million annually on Shared Services according to the government’s own figures,’’ Mr Baird said. “If anyone wanted an example of a bloated government then we need not look further than one that has close to 1200 clerks administering its payroll or a process for paying invoices that is four times more expensive than the private sector," he said. “This waste and mismanagement is a reason that infrastructure in this state remains in disrepair and I call on the Iemma Government to deliver a timeline as to when this review will be complete. Until this is done the State is losing $1.64million everyday.” Mr Baird said the Iemma Government had to explain why it took so long to call the review and it should outline how much has been wasted in Shared Services inefficiencies since it first took office 12 years ago. ``Rather than committing money to the building of new infrastructure or expediting school maintenance backlogs, the Iemma Government has lost billions of dollars in its own back office over the past 12 years. The question has to be asked why this has happened and who is accountable?’’ Mr Baird said. ``The ultimate test of a Minister is in service delivery and clearly the new Minister should hold himself accountable for getting this review completed without delay. ``Unless the government immediately outlines a review deadline it is another case of words over action,’’ Mr Baird said. Add to: Write Comment
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