Victorian government advisers pressured public servants to award union contracts, IBAC finds

A shocking report by Victoria’s anti-corruption watchdog has revealed how staffers pressured public servants to award contracts to unions.

A new report by Victoria’s anti-corruption commission has revealed its state government pressured public servants to ensure lucrative contracts were awarded to party affiliates.

The Independent Broad-based Anti-corruption Commission (IBAC) findings were released on Wednesday and revealed staff for both the health minister and in Premier’s Private Office (PPO) breached their ethical obligations.

This involved pressuring health department officials to award a contract to the Health Workers Union for training hospital staff to manage violence against health workers.

The Department of Health and Human Services entered into the $1.2m contract with the Health Education Federation in 2018.

“The union was given privileged access and favourable treatment,’’ the report read.

Victorian Premier, Daniel Andrews was cleared by IBAC in the latest report. Picture: NCA NewsWire / Ian Currie

“The combined effect of these failings and unethical conduct resulted in a contract that should not have been entered into with the union and an outcome which was not in the public interest.”

The report found Premier Daniel Andrews announced an additional $2.2 million for the union before the election but could not recall key details asked about it by investigators.

IBAC cleared Mr Andrews, former health ministers Jill Hennessy and Jenny Mikakos, and other government staff of corrupt conduct.

However, the report did say Mr Andrews should be accountable to parliament for the behaviour of his staff.

“[Operation Daintree] did however reveal a range of concerning conduct and omissions in breach of the public duties and ethical obligations of ministers and ministerial advisors,’’ the report said.

Jenny Mikakos was Victoria’s health minister during the second coronavirus wave. Picture: NCA NewsWire/ David Crosling

“It also identified conduct by senior public servants that fell short of the required Victorian public sector standards.”

Ms Mikakos, who was Victoria’s health minister during its crippling second coronavirus wave, said staff for the premier’s office would act as government “gatekeepers”.

“You will find across governments that ministers’ offices direct departments on the implementation of policies and election commitments … in many ways,’ she said.

“The current Victorian Government is a very centralised government where the PPO has its tentacles everywhere … There is constant tension between ministers’ offices and the (PPO).”

The report was tabled in Victoria’s parliament on Wednesday morning and made 17 recommendations along with a call to limit the power of ministers’ advisers.