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Tuesday, 8 September 2009
Page: 8976


Dr Southcott asked the Minister representing the Minister for Employment Participation, in writing, on 25 June 2009:

In respect of the tender for the Employment Services Contract 2009-12 and employment services providers who were offered business on 2 April 2009 but were not a preferred tenderer on 16 March 2009: (a) in which Employment Services Areas did this occur, (b) in how many Employment Service Areas did this occur, (c) in each Employment Service Area; (i) what was the reason for adding an additional provider or providers and (ii) how were the providers who were offered business chosen; and (e) what was the business share of these providers in each Employment Services Area in which this occurred.


Ms Gillard (Minister for Education, Minister for Employment and Workplace Relations and Minister for Social Inclusion) —The Minister for Employment Participation has provided the following answer to the honourable member’s question:

Final decisions had not been made at the time of the advice to preferred tenderers on 16 March 2009.

Consistent with paragraph 4.14 of the Request for Tender (RFT), the period between 16 March 2009, when preferred tenderers received the without prejudice advice of their status, and 31 March 2009, when final decisions were made, gave preferred tenderers the opportunity to bring any issues, or other relevant matters, to the Department's attention. This was particularly critical where some organisations could have proposed to use the same subcontractor.

Also, around that time the release of the new unemployment figures provided a more detailed picture of the extent of the impact of the Global Recession.

A final review was undertaken to ensure that the level of service available in those locations was consistent with the demand for the service, and that job seekers, would be well serviced into the future by providing new services that would deliver better, more tailored assistance to job seekers, particular disadvantaged Australians, and place greater emphasis on assisting employers in addressing skills shortages.

The department’s final decision, made in accordance with the rules of the RFT, saw four organisations which were not initially identified as preferred tenderers that subsequently received an offer of Job Services Australia business and nine organisations which received business in additional Employment Service Areas.

The Employment Service Areas where these changes were made were: Canterbury Bankstown NSW, Fairfield NSW, Inner Sydney NSW, Liverpool NSW, Macarthur NSW, Nepean NSW, Wollongong NSW, South Brisbane Qld, Northern Adelaide SA, Western Adelaide SA, Westgate Vic. Central and West Metro WA, North Metro WA and East Metro WA.

Detailed consideration, assessment and quality assurance, all overseen by the probity adviser preceded the department’s final decisions being made.

Providing a breakdown of business shares would disclose information relating to the business affairs of identifiable organisations and it is not appropriate to disclose this information without consulting them in case its disclosure could substantially and adversely affect the business, commercial or financial affairs of these organisations.