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DFAT budget slashing will reduce services to Australian travellers and businesses, says CPSU

15 January 2008, 4:25pm

Cuts of more than $57 million from the Department of Foreign Affairs and Trade’s budget, and the withdrawing of 19 overseas diplomatic positions, will reduce services to Australian exporters and travellers, says Mark Gepp, National President of the Community and Public Sector Union.

“DFAT has for years had to try to maintain services while delivering an ‘efficiency dividend’ which reduced its expenditure by 1.25% each year. Now the new Government is imposing $57.2 million in additional cuts,” said Mr Gepp.

“The positions and programs being cut exist to help Australians abroad and to help Australian companies do business abroad. It is not possible to cut $57 million from the department’s budget without reducing the level of service and assistance available to Australians travelling and doing business abroad.” 

Today’s announcement of the slashing of the budget comes despite Finance Minister Lindsay Tanner promising after the federal election that DFAT functions would not be reduced, and the Government brushing off suggestions it planned to reduce the number of diplomatic postings as part of its cost-cutting measures.

“Trade Minister Simon Crean was reported in The Australian last week as saying that there would be no cutbacks to the team negotiating a free trade agreement with China,” said Mr Gepp. “But today we found out that the job cuts include two from the team negotiating that agreement. It is very difficult to square the Rudd Government’s commitments to an increased role for Australia in the UN, in Asia and the Pacific with this level of budget cutting.”

Part of the DFAT cuts will see the travel and representation allowances for all officers cut across the board by 10%. The allowance covers the cost of entertaining foreign dignitaries and other officials. “Are Australia’s representatives abroad supposed to entertain foreign government officials with Vegemite sandwiches now?,” asked Mr Gepp.

An entire program to promote Australian cultural exports has also been axed. This included support for Australia's film and other art exports. “This shows a very short-sighted view of the potential value of arts exports for Australia,” said Mr Gepp.

More information:

Read the ABC's report here.

 Read the CPSU bulletin here. 

For comment: Mark Gepp on 0418 316 858

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