26 September 2023

Audit reports find lessons for APS Agencies

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Three performance audits examining arrangements established by three Departments in the Australian Public Service (APS) engaging and managing contractors with the same audit objective and criteria for their use contained key messages for all APC Agencies according the Auditor-General, Grant Hehir.

Releasing the three reports by Services Australia, the Department of Veterans’ Affairs (DVA) and Department of Defence, Mr Hehir said they contained key messages on data availability and transparency issues as well as the application of ethical and personnel security requirements to the contractor workforce.

Mr Hehir said that in his report Effectiveness of the Management of Contractors — Department of Veterans’ Affairs he found the DVA had established largely fit-for-purpose policies and processes for the management of contractors and could demonstrate the effectiveness of some, but not all, aspects of its arrangements.

He said he made three recommendations for DVA to ensure its policies and processes in respect to the contracted workforce addressed all the requirements of Protective Security Policy Framework (PSPF), and supported the implementation of requirements under PSPF Policy.

The Auditor-General said Services Australia also established largely fit-for-purpose policies and processes for the management of contractors and could demonstrate the effectiveness of some of its arrangements.

“There remains scope to improve the effectiveness of mandatory training arrangements and implementation of aspects of Policy 12 of the PSPF relating to the eligibility and suitability of personnel,” Mr Hehir said.

He made three recommendations to Services Australia aimed at improving the effectiveness of mandatory training arrangements, aligning the personnel security policy with the PSFP Policy, and obtaining assurance that PSPF Policy 12 had been addressed.

At Defence, Mr Hehir noted the Department had also established fit-for-purpose policies and processes for the management of contractors.

“However, Defence cannot demonstrate the effectiveness of its arrangements, in the absence of entity-level assurance based on a systematic approach to monitoring and reporting on implementation,” the Auditor-General said.

He made one recommendation to the Department to ensure it had arrangements in place to adequately support compliance with PSFP requirements.

The Auditor-General’s effectiveness of management contractor audit on Services Australia can be accessed at this PS News link, of the Department of Defence at this link, and of the DVA at this link.

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