The Department of Home Affairs has launched a voluntary redundancy program expected to cut hundreds of jobs, citing financial pressures. Secretary Stephanie Foster announced the move in an all-staff webinar on Tuesday, with expressions of interest closing on the eve of budget week in early May.
Foster told staff she wanted to begin the financial year with affordable staff numbers and a budget that accommodates financial pressures. The department has tried reducing spending and natural attrition but found these insufficient to live within its budget next financial year.
The redundancies follow similar actions in the departments of education and social services. Home Affairs, with 15,000 staff, is the largest department affected. The Albanese government has squeezed departmental budgets since late 2024 by not providing extra funding for new wage agreements.
Finance Minister Katy Gallagher said departments should pay extra wages from usual funding and live within their budgets. The government has asked agencies to identify five per cent of spending as low priority for possible savings in the May 12 budget.
Staff were told the number of redundancies accepted would likely be in the hundreds but fewer than 1,000. The Australian Federal Police, ASIO and other intelligence agencies are not covered. A departmental spokesperson confirmed the process is open to eligible staff up to executive level with no fixed number sought.
Community and Public Sector Union representative Sam McCrone said the public service was poised to lose hundreds of trusted staff under the guise of budget savings, risking service delivery. He criticised the announcement without details, creating anxiety in an already overworked department.
