Key detail in ex-Alan Tudge staffer’s huge $650,000 payout
Two Liberal frontbenchers have been named in a taxpayer-funded payout to an ex-staffer, with one telling word in the document.
EXCLUSIVE
Liberal frontbenchers Alan Tudge and Michaelia Cash are both named in a landmark taxpayer-funded $650,000 “no admissions” settlement to former political staffer Rachelle Miller for “hurt, distress and humiliation”.
The deed of release outlining the payout obtained by news.com.au reveals that the payout includes legal costs, medical costs and $300,000 for “hurt, distress, humiliation, dislocation of life, loss of professional standing and impairment of personal dignity”.
“Without admitting liability, the parties have reached agreement on the terms set out in this deed,’’ the document states.
“In consideration of the releases contained in this deed, and in full and final settlement of all Claims (existing and future) relating to the circumstances, the Commonwealth will pay to Ms Miller a total amount equal to $650,000 in respect of her damage and loss which occurred.”
Mr Tudge and Senator Cash are both named as “beneficiaries” in the landmark taxpayer-funded $650,000 “no admissions” settlement.
Both Mr Tudge and Senator Cash continue to deny that Ms Miller was bullied or mistreated during her employment in the cabinet minister’s office or when she was conducting an extramarital affair with Mr Tudge during her employment.
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Mr Tudge has confirmed he was at times sexually intimate with his press secretary Ms Miller, including sleeping naked in the same bed during work trips, but insists that he did not have sexual intercourse with her.
The breakdown of the agreed payout includes $10,000 in respect of past loss of earning capacity; $100,000 in respect of loss of future earning capacity; $28,000 as reimbursement for past medical and like expenses incurred by Ms Miller; $62,000 for future medical expenses to be incurred by Ms Miller; and $300,000 for hurt, distress, humiliation, dislocation of life, loss of professional standing and impairment of personal dignity; and $150,000 as reimbursement for Ms Miller’s legal costs.
In an unusual provision to ensure Ms Miller was not silenced by a non-disclose agreement, the deed of release also states that “the parties agree that the settlement sum and terms of this deed are not confidential”.
“Taxpayers have a right to know about the outcomes of complaints made against elected officials, particularly if a settlement was paid,’’ Ms Miller told news.com.au.
“My case has settled without a Non-Disclosure Agreement which is a significant breakthrough for transparency, and a huge step forward for victims.
“Without this, I would have certainly filed my case in the Federal Court. Unfortunately, had my story not gained the attention of the public through the media, I suspect an NDA would have been insisted upon by the Commonwealth.
“The silencing of victims who are paid settlement amounts to compensate for their traumatic experiences … is a fundamental reason this toxic culture has remained hidden for so long.”
Ms Miller said that “it is in the spirit of transparency” that she was releasing details of the payout.
“It is important you understand the reasons why the Commonwealth paid a settlement. I do this in the hope you understand why change is so overdue.”
Mr Tudge told news.com.au: “I categorically reject these latest allegations, just as I rejected Ms Miller’s previous allegations, which I was cleared of by two independent inquiries.”
“I was not a party to these matters or any payment sought and have no knowledge of them.”
In a statement, Senator Cash said “the settlement is a matter for the Department of Finance.”
“Senator Cash strenuously rejects claims of any adverse treatment of Ms Miller and strongly disputes Ms Miller’s version of events,” she said.
“At the time of her employment, between late 2017 and mid-2018, Senator Cash and her office understood Ms Miller’s personal circumstances which is why support, leave and flexible work arrangements were offered to her.”
News.com.au first revealed in April that the Morrison Government was finalising a $500,000 payout to Ms Miller.
At the time, former Prime Minister Scott Morrison variously said the negotiations were “private” but later added during the election campaign they were not finalised.
During the leaders’ debate on Channel 7 during the election, the former Prime Minister asserted, “On the other matter of the financial settlement, I’m advised that the matter hasn’t even been settled.”
Mr Morrison then claimed if there were any matters linked to Mr Tudge he would have been informed.
“If there were any matter that was in the assessment by the Department of Finance that involved the conduct of any minister whatsoever in the granting of that payment then that matter would have to be raised with me by the Department of Finance through the secretary of the Department of Prime Minister and Cabinet,” Mr Morrison said
“Now, I can assure you absolutely that no such reference has been made to me, so, to imply that would be false,” he said.
Mr Tudge then conducted an interview with Sky News during the election campaign noting that if the payout had anything to do with him, as the Prime Minister asserted, he would have been told.
“I haven’t been called as a witness. I haven’t been asked to provide evidence and as the prime minister said, if it involved me, he would have been made aware and he hasn’t been made aware,’’ Mr Tudge said.
Ms Miller was employed as a political staffer at Parliament House from March 9, 2010 to July 27, 2018. She worked as a media adviser for Mr Tudge between August 17, 2016 and November 28, 2017. She then worked as a senior media adviser for Senator Cash between November 29, 2017 and July 27, 2018
In November 2020, Ms Miller revealed she had an extramarital affair with Mr Tudge during her employment on Four Corners’ Inside the Canberra Bubble program.
She subsequently made a complaint to the Commonwealth alleging she was subject to bullying, harassment and discrimination during her employment with Mr Tudge and Senator Cash.
As a result, the Morrison Government commissioned Sparke Helmore Lawyers to undertake a review into this first complaint.
However, Ms Miller did not participate in the first investigation after her lawyers raised concerns about the independence of the investigation.
It did not make any finding of wrongdoing against Mr Tudge.
On December 2, 2021, Ms Miller released a statement alleging that Mr Tudge was emotionally abusive towards her – claims Mr Tudge strenuously denied.
A report by Vivienne Thom later found that Mr Tudge had not breached ministerial standards. Ms Miller did not participate based on legal advice.
On December 17, 2021, the Commonwealth was provided with Ms Miller’s mediation paper.
According to the Deed of Release the December mediation paper alleged that Mr Tudge’s actions towards Ms Miller during the Tudge Employment Period: contravened the DDA by engaging in disability discrimination; contravened the SDA by engaging in sexual harassment and sex discrimination; contravened the WHS Act by failing to provide Ms Miller with a safe work environment; breached the implied term of Ms Miller’s contract that she would be afforded a safe workplace; and contravened the adverse action and other provisions of the FW Act by taking adverse action because of Ms Miller’s sex and disability.
Ms Miller plans to write to all parliamentarians on Tuesday to request their full support in the Federal Parliament to ensure the recommendations of Set the Standard: Report on the Independent Review into Commonwealth Parliamentary Workplaces are implemented in full.
“My experience of making a formal complaint was, frankly, horrendous, and left me more traumatised than when I began it. It grieves me that without expert legal assistance, many victims are unable to navigate the current complaints system which is neither fair nor independent, protects offending Parliamentarians and exacerbates the power imbalance,’’ she writes.
“The detrimental impact my experience as a political staffer has had on my career, my mental health and my family has been significant. However, my experiences are not who I am, and I’m not defined by them. I am proud of what I have achieved. I now wish to move on.”