Government allocates approximately $1.2 billion annually to cover the salaries of around 42,000 publicly-funded employees, according to Deputy Prime Minister and Finance Minister Professor Biman Prasad.
During the presentation of the 2024-2025 Budget, Prof Prasad announced plans to collaborate with the Australian Government to conduct a comprehensive review of the civil service establishment and salary structures across public entities.
He pointed out the urgent need to establish parity in the salaries of publicly funded employees and to right-size the establishment.
Prof Prasad attributed the significant increase in the number of civil servants to past civil service reforms and the 2013 constitutional changes that shifted central oversight and establishment control from the Public Service Commission to respective Permanent Secretaries.
“Currently, we have over 42,000 publicly funded employees, including around 38,000 in the civil service and nearly 4,000 in independent institutions and state-funded entities. This results in a substantial expenditure of about $1.2 billion,” the Deputy Prime Minister stated.