Fahey must be accountable for IT outsourcing debacle

The ALP today renewed its call for the Coalition to abandon their flawed IT Outsourcing Program in the wake of a damning Australian National Audit Office Report.

The ANAO report, Implementation of Whole-of-Government Information Technology Infrastructure Consolidation and Outsourcing Initiative’, found major flaws in the way the Coalition’s outsourcing program operates.

The failings of the IT Outsourcing Program were once again debated in the Senate today when the Labor Opposition moved the following motion:

That the Senate condemns the Government for persisting with their IT Outsourcing Program given that the Australian National Audit Office Report presents a damning critique exposing the Government as having failed to achieve its stated policy objectives of achieving savings.

The Senate is particularly concerned that, despite the Audit Office finding, the Government is continuing a program that has demonstrably:

bullet had program management costs reach inexplicable levels
bullet failed to achieve the savings promised by Minister Fahey
bullet damaged the local IT industry by structuring contracts to suit multinational corporations
bullet hampered the capacity of agencies to innovate in the use of information technologies, including the electronic delivery of government services.

Finally, the Senate calls upon the Government to immediately exclude the science agencies, described as Group 9 under the IT Outsourcing Program, given the potential damage to their research and development capability.

“The Coalition’s IT Outsourcing Program is defying international trends of ‘backsourcing’”, Senator Lundy, Shadow Minister Assisting on IT, said today.

“There are so many features of the Coalition IT Outsourcing Program that stand alone as justifying an immediate halt to this program.

“The Minister is clearly avoiding his executive responsibility by allowing this Program to continue,” Senator Lundy said.

80/00. Contact: Simon Tatz on 0206277 3334 or 0418 488 295

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