Jobs for mates, misuse of funds exposed in Victorian public sector probe

Thousands of taxpayer dollars are being splurged on funeral expenses, traffic fines, alcohol and gifts as Victoria’s public sector staffers’ misconduct is laid bare.

The failings of Victoria’s public sector to reel in misconduct have been laid bare in a new report, with staffers caught spending thousands of taxpayer dollars on funeral expenses, traffic fines, alcohol and lavish gifts.

Jobs for mates, the misuse of public funds and policy failures were a few of the themes documented in the Ombudsman’s misconduct in public organisations report released on Wednesday.

The report details seven misconduct probes by the independent watchdog in recent years, implicating employees ranging from government top dogs to unpaid volunteers.

In one shocking example, staffers spent more than $30,000 of public funds on funeral expenses for co-workers who died in circumstances unrelated to work.

When a senior finance officer at the organisation was quizzed about the hefty sum, they brushed it off as “insignificant”.

Ombudsman Deborah Glass says while the report ‘lifts the veil’ on the watchdog’s investigations, the themes are ‘sadly, not new’.

Several gifts, well over the $50 limit, were also given to staffers, including crystal bowls which cost $493 and an antique hat at a cost of $155.

The organisation also paid traffic fines for staffers, including a $2976 red light infringement which would have cost the driver $369.

The report noted a “lack of clear policies outlining expectations of staff” and “bad recordkeeping”.

“But the real reason so much public money was spent on inappropriate purchases was the culture at the organisation, which saw such behaviour as justifiable,” the report states.

In another “concerning” case, a public sector officer at the centre of an unresolved misconduct probe was hired as a senior executive at a government department after failing to disclose their history.

A manager at a government department was also investigated after taking more than 40 days worth of time off without approval - exceeding their combined annual and sick leave entitlements by almost 20 days - while an employer at a public organisation was quizzed after recruiting their mate without following due process.

Ombudsman Deborah Glass said while the report “lifts the veil” on the watchdog’s investigations, the themes were “sadly, not new”.

“Conflicts of interest, favouritism, and misuse of public funds continue to feature as they have in previous Ombudsman reports,” she said.

Liberal MP David Davis says the Premier has allowed public sector misconduct to “blossom”. Picture: Luis Enrique Ascui

“Sometimes people do the wrong thing and go to some lengths to conceal it … In other cases, people simply do not recognise they are doing the wrong thing.”

In the past three financial years, the Ombudsman finalised investigations into 205 public interest complaint claims and substantiated or partly substantiated 57 of those allegations.

“While many of these allegations we investigate, are not substantiated, we often find poor organisational processes or officers breaching conduct requirements,” the report states.

Almost 355,000 people are employed in the state’s public sector – about 10 per cent of the entire Victorian workforce.

More than 31,000 others are members of Victorian public sector boards in sectors such as health, education and transport.

Shadow Special Minister of State, David Davis, said the report shows public sector misconduct is “rife with conflicts of interest, favouritism and discrimination”.

“The number of allegations of misconduct that reach the Ombudsman is simply astounding and can only be a fraction of actual and unreported misconduct, including the misuse of public funds, materials, resources, authority, position and power,” Mr Davis said.

“Daniel Andrews and his ministers are asleep at the wheel and all the while public sector misconduct continues to blossom.”