A $2.8m windfall for Daniel Andrews’ ministerial advisers

Dozens of ministerial advisers in the Victorian government received a share of almost $2.8 million after several Cabinet resignations.

Victorian Premier Daniel Andrews. Picture: NCA NewsWire / Nicki Connolly

The extraordinary pre-election gutting of Dan Andrews’ cabinet has cost Victorian taxpayers almost $2.8m in separation packages as 30 staff were laid off after their ministers quit.

A total of five senior ministers were confirmed to be quitting the Labor frontbench in June, leading to dozens of ministerial advisers being given separation packages.

The 30, including senior ministerial advisers, were paid an average of $92,000 each under entitlements to compensate for the short lifespan of private office staff.

The redundancies included significant tax concessions.

Total payments are normally bolstered by entitlements such as leave owing, with governments often giving the best staff the opportunity to work in other offices.

In June, four of the most senior ministers in the government confirmed they would not be contesting the November 26 election. Former senior minister Richard Wynne had already flagged his intention to quit politics.

The five departing ministers were all senior members of the Andrews cabinet and included then health minister Martin Foley, former deputy premier James Merlino, former sports minister and attorney-general Martin Pakula and former police minister Lisa Neville.

The MPs helped form the backbone of the government during the pandemic.

A government spokesperson said: “Any payments were made in line with employees’ legal entitlements.”

The exodus forced an overhaul of the government’s frontbench and attracted the ire of the opposition, which accused Labor of chaos in government as the economy struggled to reboot after the great shutdowns of 2020 and 2021. Revelations about the size of the targeted separation packages will likely lead to opposition claims of largesse as many Victorians struggle to recover from the financial fallout of Covid-19.

Political advisers who left the Andrews government or were sacked after the 2018 state election took home an average of $83,000 in severance pay, adding to the state’s growing wage bill.

Payments to the 62 ministerial staffers who left their jobs in 2019, or who were no longer needed after the election, cost the government $5.1m.

When the Coalition government lost office in 2014 taxpayers paid out $11.5m to outgoing ministerial staffers, with many made redundant because opposition staff numbers are considerably lower and the government advisers could not be accommodated.

The 2022 cabinet reshuffle involved long-serving ministers and MPs who had been in politics for decades and in every case was largely expected.

However, Labor has been under pressure for its heavy spending agenda and the growth in public service numbers.

Private political officers are hired under different arrangements than the wider public service. Victoria’s public service wage bill has risen at more than three times the wage price index since the Andrews government came to power, with the government under significant debt pressure due to pandemic spending, The Australian has reported.

The number of state public servants has increased at almost double the rate of population growth, according to The Australian’s calculations.

As the Andrews government seeks a third term, the ABS statistics highlight the extent to which massive expenditure has been baked into the state budget.

By mid-2026 Victoria’s net debt is set to reach $167.5bn – or 26.5 per cent of gross state ­product.