Leaks from senior sources within Treasury had revealed that Treasurer Foley had been trying to conceal a $168 million wages blowout in the budget.
“The attached leaked document from Treasury and the Industrial Relations unit of Premier and Cabinet shows the actual annual wage bill increase for public servants was 3.1 per cent instead of 2.5 per cent, as claimed by the Rann Government,” Shadow Minister for Finance Rob Lucas said.
“This means a 9.5 per cent increase over the term of the three year agreement and not the 7.7 per cent as claimed by the Rann Government.”
The document shows the $168 million blowout:
Year Blowout
2009-10 $33.2m
2010-11 $30.0m
2011-12 $34.2m
2012-13 $34.9m
2013-14 $35.6m
Total $167.9m
“As recently as 5 March on Stateline, Mr Foley was claiming the public sector wage settlement had been 2.5 per cent per annum,” he said.
“On 11 January this year, when the Liberal Party first claimed there had been a blowout, Rann Government Ministers lined up publicly to deny the claim and insist the deal had been settled at 2.5 per cent.
“However, the attached leaked document makes it clear Mr Foley and other Rann Government Ministers have not been telling the truth on this issue.
“In last year’s Budget, Mr Foley made it quite clear that if public sector wage increases were not limited to 2.5 per cent per annum, there would be further public sector job cuts above the 1,600 FTE already announced.
“Mr Foley must now come clean and explain why he has been claiming a successful 2.5 per cent per annum wage settlement when Treasury has advised him that statement is untrue.”