IBAC Insights (newsletter)
Improper influence and bypassed procurement processes in Victorian Government health worker training contract
The special report on IBAC’s Operation Daintree found that in October 2018, the then Department of Health and Human Services (DHHS) entered into a $1.2 million contract with the Health Education Federation (HEF) – a recently established entity linked to the Health Workers Union (HWU) – to provide occupational violence and aggression training to health workers.
Operation Daintree uncovered that DHHS did not conduct a competitive process before awarding the contract to the HEF and a senior advisor to the Minister for Health had improperly influenced the awarding of the contract to the HEF.
IBAC’s Operation Daintree revealed breaches of duties and obligations of ministers, ministerial advisors, and senior public servants.
The investigation showed that the HWU was given privileged access and favourable treatment in its access to ministerial offices. The proposal from HEF raised a conflict between the government's interest in procuring the most suitable supplier for the training and the governing party's interest in assisting an affiliated union. This conflict of interest was not properly managed or declared.
Advisors in the Premier’s Private Office and the Minister for Health’s office also interfered in the management of the HEF contract to obstruct consideration of its termination and to ensure it continued.
The DHHS awarded the contract to HEF without a competitive procurement process due to senior staff in the department believing it was the minister’s and government’s preference, and because of ongoing pressure from both the Minister for Health’s advisor and secretary of the union.
As a result of Operation Daintree, IBAC has made 17 recommendations to ensure, among other things, that ministers have a clear understanding of their obligations and accountability for the management of ministerial staff, and the role of ministerial advisors is more transparent and accountable.
IBAC recommended the Victorian Government report to Parliament on the action taken in response to these recommendations by 31 October 2023, with a further report on those actions by 30 June 2024. IBAC will follow up with all key stakeholders to monitor adoption of these recommendations to address the risks identified in IBAC’s investigation.
