Christine Holgate calls for Australia Post chairman to resign after Senate inquiry recommends Prime Minister apologise to former chief

Former Australia Post chief executive Christine Holgate has called for the chairman to resign after a day where the PM was called to apologise.

Former Australia Post chief executive Christine Holgate has called for the organisation’s Chair, Lucio Di Bartolemo, to resign, saying he has let down Australia Post, undermining confidence in it.

Speaking with Leigh Sales on ABC-TV’s 7.30, Ms Holgate said it was “very important” for Australia Post employees’ confidence that Mr Di Bartolemo step aside, as recommended in a Senate inquiry report on Wednesday.

She said that the chairman had changed or forgotten evidence when presenting to the Senate inquiry which examined Ms Holgate’s departure from Australia Post after the so-called Cartier watches affair.

Asked by Sales if she would like to see the Senate inquiry’s recommendation Mr Di Bartolemo resign occur, Ms Holgate replied: “I think it’s very important for the organisation. “You know, every employee needs to have confidence, and the report really

highlights that I was unlawfully stood down.

“I was not entitled to my legal rights and they evidenced this in their findings.

“And he (Di Bartolemo) was responsible for me. And he let down not just me, but the organisation.

“And the organisation needs to trust the chair.

Former Australia Post CEO Christine Holgate told 7.30 on Wednesday the Aus Post chair should quit and Scott Morrison should apologise to her. Picture: Mick Tsikas. G

“I also think it’s disappointing that the chair, on numerous times, changed his evidence, forgot very important things that took place.

“And for all those employees, they must have confidence in the board.”

Ms Holgate was speaking after the Senate inquiry delivered its report which also recommended Prime Minister Scott Morrison apologise personally to her.

She told Sales she would “welcome that apology and I would graciously accept it”.

Ms Holgate quit her role at Australia Post in November after it was revealed she purchased luxury Cartier watches worth a total of $20,000 for four employees as a reward for securing a banking deal in 2018.

An inquiry was partly established to investigate the events relating to her resignation and whether the Australia Post board exercised its role with due diligence.

The 255-page report was released on Wednesday with 25 recommendations.

“The committee recommends that the Australia Post board and shareholder ministers and the Prime Minister apologise to Ms Holgate for denying her the legal principles of procedural fairness and natural justice in her departure from Australia Post,” the report read.

The committee has recommended the Prime Minister apologise to Ms Holgate. Picture: NCA NewsWire/Gary Ramage

Committee members also questioned the “degree of moral outrage” directed towards Ms Holgate.

“The Prime Minister’s excessively strong criticism of Ms Holgate during question time on October 22, 2020, was a significant contributor to the intensity of the initial public response,” the report read.

The inquiry has also recommended Australia Post chair Lucio Di Bartolomeo resign.

“The committee recommends that the chair of Australia Post resign in acceptance of his responsibility for the organisation’s failings with respect to the Holgate matter, the veracity of his evidence provided to the committee, his capacity to defend the independence of Australia Post and the lack of effective robust policies and financial oversight processes in place throughout his tenure,” the report read.

Another key recommendation was to restructure the board to include nominees of politicians, the employees and unions, and the licensees.

The committee also recommended the Australian government “expressly rule out” privatising or divesting Australia Post or any of its services.

Australia Post boss Christine Holgate quit in November. Picture: NCA NewsWire/Joel Carrett

Regarding the gifting of the Cartier watches, the committee noted there was evidence suggesting a “historical culture of gift giving and rewards for senior staff” at Australia Post.

“Even more concerning to this committee is the sheer magnitude of bonuses and incentives paid to executives, senior managers and other highly paid staff across the commonwealth,” the report read.

According to the government’s performance bonus review interim report, Australia Post paid $35.3 million to about 500 highly paid staff in 2019-20 – up $10.1 million from the previous year.

“Even during the pandemic and associated lockdowns of early 2020, a number of commonwealth entities paid millions in executive bonuses,” the report read.

“The interim report of the government’s performance bonus review shows that the use of bonuses is a significant issue across the commonwealth.”