Big payout possible for Deputy PM Richard Marles’ exiled chief of staff

An exiled government staffer could be on track for an eye-watering taxpayer-funded payout.

EXCLUSIVE

Deputy Prime Minister Richard Marles’ exiled chief of staff Jo Tarnawsky could be on track for a substantial taxpayer-funded payout after the Albanese Government put Comcover in charge of resolving the stand-off over her $300,000-a-year job.

Nearly six months after the Deputy PM banned her from attending the office after she complained she was being bullied by colleagues, the respected COS is still being paid $25,000 a month despite the fact the Albanese Government won’t allow her to return to work.

News.com.au understands the Albanese Government has now handed the dispute over to Comcover, the insurance arm of the government that settled big payouts to Brittany Higgins and former Liberal frontbencher Alan Tudge’s press secretary Rachelle Miller.

Comcover is an internal government insurer and aims to protect the Commonwealth’s budget and reputation. It is a separate organisation from Comcare which organises workers’ compensation claims.

To date, Ms Tarnawsky has not sought a payout but asked the Albanese Government to engage with her on the substance of her complaints about her treatment. Government sources told news.com.au the government was keen to settle the matter if it can.

Richard Marles' chief of staff, Jo Tarnawsky. Picture: NewsWire / Martin Ollman

Her complaint comes as the Parliamentary Workplace Support Service (PWSS) established in the wake of Brittany Higgins’ allegations confirmed in an annual report it had received 30 reports of serious wrongdoing – including sexual assault, stalking and intimidation – in its first nine months of operation.

It has also received 33 reports of bullying at Parliament House.

The Albanese Government’s settlement with Ms Higgins was also on a no admissions basis.

How the Morrison Government paid out $650,000 to another political staffer

In the lead up to the 2022 election, the Morrison Government signed off on a $650,000 payout to press secretary Rachelle Miller following her complaint over the hurt, distress and humiliation she alleges she suffered while working for former ministers Alan Tudge and Michaelia Cash.

Federal member of Parliament Alan Tudge at the 2017 Mid-Winter Ball in the company of Liberal staffer Rachelle Miller. Picture: ABC/Four Corners

No admission of liability was made by the government. The Morrison Government settled the matter with Ms Miller without calling evidence from Mr Tudge or Senator Cash, the same process that was then deployed by the Albanese Government in relation to Brittany Higgins’ $2.4 million payout.

While this payout was criticised on the grounds that former Defence Minister Linda Reynolds was not given the opportunity to challenge the claims, the same process was deployed by Comcover under the Morrison Government when resolving Ms Miller’s compensation claim.

In essence, it was based on a risk assessment of the government insurer of how much it would cost if the matter went to court.

Comcover, the Australian Government’s self-managed insurance fund, has been providing insurance and risk management services to Australian Government entities that are classified to the General Government Sector (Fund Members) since 1998.

Comcover’s website states that its claims management services ensures that a co-ordinated and uniform approach is taken to the management of claims against the Australian Government.

Deputy PM’s former COS on track for $150,000 in gardening leave pay

The bizarre standoff over Deputy Prime Minister Richard Marles’ former COS emerged after Jo Tarnawsky raised complaints she was being bullied in the office by colleagues.

But the failure to resolve the matter to date means she’s on track to be paid around $150,000 over the last six months while on gardening leave with the Federal Government.

She alleges she was driven from the job after she was “bullied” in Mr Marles’ office and accused her former boss of failing to support her. Mr Marles’ office has disputed her account of events.

But she’s still on the taxpayer-funded payroll after the Labor Party told her to cool her heels at home in May rather than come into the office.

The respected former diplomat is on a salary of around $300,000 in her role as chief of staff to the Deputy Prime Minister and Defence Minister but has not worked since May when she says the Prime Minister’s office told her she could never return to the job.

That salary equates to around $25,000 a month or just over $100,000 in total since she was barred from coming into the office despite her willingness to work.

Deputy Prime Minister and Minister for Defence, Richard Marles. Picture: NewsWire / Martin Ollman

It’s not clear how Mr Marles’ office planned to resolve the matter or whether they planned to keep paying her until the election was called, but for months she has remained on gardening leave which was not of her choosing.

The only work she was requested to undertake was some temporary project work to support and mentor other chiefs of staff.

“This shows I pose no security risk and there are no genuine concerns about my performance or behaviour,’’ she said.

Ms Tarnawsky does not allege she was bullied by Mr Marles but does take issue with how he handled her complaints.

“I am being bullied out of a job I loved, that I was doing well,’’ she said.

“It was a job that I dreamed of having since I first visited Parliament House as a child. Now, I am the most senior female Chief of Staff on The Hill and my workplace is not safe.”

Richard Marles disputes COS’ account

A spokesperson for Mr Marles has previously disputed Ms Tarnawsky’s account.

“A number of the assertions and recollections are contested. Ms Tarnawsky has been treated with respect and courtesy,’’ the spokesperson said.

“At all times, the wellbeing of staff, including Ms Tarnawsky has been front of mind. Out of respect for Ms Tarnawsky, and the prospect of legal proceedings, it is not appropriate to make further comment.

“The Albanese Government is committed to improving workplace behaviour and culture at Parliament House.”

‘Not safe’: Leaked texts from inside gov office

Leaked text messages chart the breakdown in the relationship after a challenging visit to Ukraine where the program collapsed and Ms Tarnawsky, a former diplomat, had to organise a new set of meetings with senior leaders at short notice.

During the flight home from an official trip to Ukraine in late April, she says she raised concerns privately with the Deputy Prime Minister about some bullying behaviour within the office.

“It is the single-biggest thing I have pulled off in my career,” she texted Mr Marles. “Given the same circumstances and the same ridiculous time pressures, I’d do it again.”

She said Mr Marles had discovered she had been recommended for another senior job but she considered her current position “an honour” and wanted to stay where she was.

“I just need to work out if I’m still valued in this role, and if you want me to stay.”

In response, Mr Marles was initially supportive but she said that soon changed.

“Jo, I know what you did to pull off the Ukraine visit, and as I’ve said to you, it was amazing,” he wrote.

Mr Marles visited Ukraine on 27 April 2024.

“You should feel proud. I believe I’ve praised you in front of others, but I’ll make sure to do that again. I have not heard the negative talking. People are careful around me, but I don’t doubt what you say. I know things are not going well. I value you and value the job you have done for me. More than that, I am deeply grateful.”

In a statement, she said the relationship soon took a nose dive after she raised the concerns.

“During the flight home from an official trip to Ukraine in late April, I raised concerns privately with the Deputy Prime Minister about some bullying behaviour within the office.

He acknowledged the concerns, restated the value he placed in me and my work and said we should have a chat about it,’’ she said.

Richard Marles: ‘Trust me’

The former chief of staff and diplomat said things took a turn for the worse when she returned to Australia and Mr Marles called her into the office and in direct response to the concerns she had raised, claiming he made it clear that she should start looking for alternative employment.

“Any of my attempts to resolve the issue or to discuss it in person were refused. He demanded that I take several weeks of leave immediately. I was shocked, but he assured me that I had not been stood down and that I would be treated with total dignity,’’ she said.

“He said, ‘trust me, I know how to handle this’.

“But when I tried to return to work in June, it was left to the Prime Minister’s chief of staff to inform me that I could never return to my role or to the Deputy Prime Minister’s office.

“No fair process has been followed. I continue to be employed officially as the Deputy Prime Minister’s chief of staff, but I have been prevented from doing my job. I am unable to access my office unless I provide 24 hours’ notice and I have been warned by a senior staffing representative that I am not safe and to stay away from the DPMO. I have not seen or heard from the Deputy Prime Minister for months.”

‘Sad’ Richard Marles breaks silence on office drama

Mr Marles told Parliament last month he’s “sad” about the breakdown in his relationship with his chief of staff.

However, he suggested that it’s difficult to say more given “it’s in the hands of lawyers”.