portfolio budget statements · web viewfresh approaches—generating and understanding...

Portfolio Budget Statements 2016–17Budget Related Paper No. 1.6

Employment Portfolio

Budget Initiatives and Explanations ofAppropriations Specified by Outcomes

and Programs by Entity

© Commonwealth of Australia 2016ISSN 2203–5583 (Print)ISSN 2203–5591 (Online)This publication is available for your use under a Creative Commons BY Attribution 3.0 Australia licence, with the exception of the Commonwealth Coat of Arms, the Department of Employment logo, photographs, images, signatures and where otherwise stated. The full licence terms are available from http://creativecommons.org/licenses/by/3.0/au/legalcode.

Use of Department of Employment material under a Creative Commons BY Attribution 3.0 Australia licence requires you to attribute the work (but not in any way that suggests that the Department of Employment endorses you or your use of the work). Department of Employment material used 'as supplied'Provided you have not modified or transformed Department of Employment material in any way including, for example, by changing the Department of Employment text; calculating percentage changes; graphing or charting data; or deriving new statistics from published Department of Employment statistics—then Department of Employment prefers the following attribution: Source: The Australian Government Department of EmploymentDerivative materialIf you have modified or transformed Department of Employment material, or derived new material from those of the Department of Employment in any way, then the Department of Employment prefers the following attribution: Based on The Australian Government Department of Employment dataUse of the Coat of ArmsThe terms under which the Coat of Arms can be used are set out on the It’s an Honour website (see www.itsanhonour.gov.au)Other usesEnquiries regarding this licence and any other use of this document are welcome at:Department of EmploymentGPO Box 9880

ii

http://www.itsanhonour.gov.au/

http://creativecommons.org/licenses/by/3.0/au/deed.en


http://creativecommons.org/licenses/by/3.0/au/legalcode



Canberra ACT 2600Tel: +61 1300 488 064

iii

Abbreviations and conventionsThe following notation may be used:NEC/nec not elsewhere classified- nil.. not zero, but rounded to zerona not applicable (unless otherwise specified)nfp not for publication$m $ million$b $ billionFigures in tables and in the text may be rounded. Figures in text are generally rounded to one decimal place, whereas figures in tables are generally rounded to the nearest thousand. Discrepancies in tables between totals and sums of components are due to rounding.EnquiriesShould you have any enquiries regarding this publication please contact Glen Casson, Chief Finance Officer, Department of Employment on 1300 488 064.Links to Portfolio Budget Statements (including Portfolio Additional Estimates Statements and Portfolio Supplementary Additional Estimates Statements) can be located on the Australian Government Budget website at: www.budget.gov.au.

v

http://www.budget.gov.au/

USER GUIDE TO THE

PORTFOLIO BUDGET STATEMENTS

vii

USER GUIDE

The purpose of the 2016–17 Portfolio Budget Statements (PB Statements) is to inform Senators and Members of Parliament of the proposed allocation of resources to government outcomes by entities within the portfolio. Entities receive resources from the annual appropriations acts, special appropriations (including standing appropriations and special accounts), and revenue from other sources.A key role of the PB Statements is to facilitate the understanding of proposed annual appropriations in Appropriation Bills (No. 1 and No. 2) 2016–17 (or Appropriation (Parliamentary Departments) Bill (No. 1) 2016–17 for the parliamentary departments). In this sense the PB Statements are Budget related papers and are declared by the Appropriation Acts to be ‘relevant documents’ to the interpretation of the Acts according to section 15AB of the Acts Interpretation Act 1901.The PB Statements provide information, explanation and justification to enable Parliament to understand the purpose of each outcome proposed in the Bills.As required under section 12 of the Charter of Budget Honesty Act 1998, only entities within the general government sector are included as part of the Commonwealth general government sector fiscal estimates and produce PB Statements where they receive funding (either directly or via portfolio departments) through the annual appropriation acts.

viii

CONTENTS

Portfolio overview........................................................................................................1Employment portfolio overview......................................................................................3

Entity resources and planned performance..............................................................7Department of Employment............................................................................................9Asbestos Safety and Eradication Agency.....................................................................47Comcare, the Safety, Rehabilitation and Compensation Commission, and the Seafarers Safety, Rehabilitation and Compensation Authority.....................................67Fair Work Commission.................................................................................................97Fair Work Ombudsman..............................................................................................119Office of the Fair Work Building Industry Inspectorate...............................................141Safe Work Australia...................................................................................................161Workplace Gender Equality Agency...........................................................................183

Portfolio glossary.....................................................................................................205

ix

PORTFOLIO OVERVIEW

Portfolio Overview

EMPLOYMENT PORTFOLIO OVERVIEW

Minister and portfolio responsibilities

Senator the Hon Michaelia Cash is responsible for the Employment portfolio, which assists the Australian Government to achieve its objectives for employment.The Employment portfolio provides advice, support, programs and services to the Australian Government and wider community. The portfolio works with other Australian Government agencies, state and territory governments and a range of service providers to connect people with jobs, workplaces with safety and business with productivity. The Department of Employment is responsible for national policies and programs that help Australians find and keep employment and work in safe, fair and productive workplaces.The Asbestos Safety and Eradication Agency is dedicated to working with jurisdictions and affected parties to facilitate a national approach to the eradication, handling and awareness of asbestos. Comcare, the Safety, Rehabilitation and Compensation Commission, and the Seafarers Safety, Rehabilitation and Compensation Authority contribute to a secure, safer, fairer and more productive Australia. Comcare partners with workers, their employers and unions to keep workers healthy and safe, and reduce the incidence and cost of workplace injury and disease.The Fair Work Commission is Australia’s national workplace relations tribunal. It is responsible for administering provisions of the Fair Work Act 2009 as well as a range of other functions. The Fair Work Ombudsman promotes harmonious, productive and cooperative workplace relations and ensures compliance with Commonwealth workplace laws.The Office of the Fair Work Building Industry Inspectorate is responsible for ensuring compliance with workplace laws in building and construction workplaces and delivering impartial advice to the building and construction industry.Safe Work Australia is leading the development of policy to improve work health and safety and workers’ compensation arrangements across Australia.The Workplace Gender Equality Agency is responsible for promoting and improving gender equality in Australian workplaces and administering the Workplace Gender Equality Act 2012.

3

Portfolio Overview

For information on resourcing across the portfolio, please refer to Part 1: Agency Financial Resourcing in Budget Paper No. 4: Agency Resourcing. The Employment portfolio structure and outcomes can be found at Figure 1. Figure 1: Employment portfolio structure and outcomes

Senator the Hon Michaelia Cash, Minister for EmploymentDepartment of Employment

Renée Leon PSM, SecretaryOutcome 1Foster a productive and competitive labour market through employment policies and programs that assist job seekers into work, meet employer needs and increase Australia’s workforce participation.Outcome 2Facilitate jobs growth through policies that promote fair, productive and safe workplaces.

Asbestos Safety and Eradication AgencyPeter Tighe, Chief Executive Officer

OutcomeAssist in the prevention of exposure to asbestos fibres and the elimination of asbestos-related disease in Australia through implementing the National Strategic Plan for Asbestos Awareness and Management in Australia.

Comcare, the Safety, Rehabilitation and Compensation Commission, and the Seafarers Safety, Rehabilitation and

Compensation AuthorityJennifer Taylor, Chief Executive Officer

OutcomeSupporting participation and productivity through healthy and safe workplaces that minimise the impact of harm in workplaces covered by Comcare.

Fair Work CommissionBernadette O’Neill, General Manager

OutcomeSimple, fair and flexible workplace relations for employees and employers through the exercise of powers to set and vary minimum wages and modern staff awards, facilitate collective bargaining, approve agreements and deal with disputes.

Fair Work OmbudsmanNatalie James, Ombudsman

Outcome

4

Portfolio Overview

Compliance with workplace relations legislation by employees and employers through advice, education and, where necessary, enforcement.

Figure 1: Employment portfolio structure and outcomes (continued)

Office of the Fair Work Building Industry Inspectorate Nigel Hadgkiss APM, Director

OutcomeEnforce workplace relations laws in the building and construction industry and ensure compliance with those laws by all participants in the building and construction industry through the provision of education, assistance and advice.

Safe Work AustraliaMichelle Baxter, Chief Executive Officer

OutcomeHealthier, safer and more productive workplaces through improvements to Australian work health and safety and workers’ compensation arrangements.

Workplace Gender Equality AgencyLibby Lyons, Director

OutcomePromote and improve gender equality in Australian workplaces including the provision of advice and assistance to employers and the assessment and measurement of workplace gender data.

5

ENTITY RESOURCES ANDPLANNED PERFORMANCE

Department of Employment........................................................................................9

Asbestos Safety and Eradication Agency................................................................47

Comcare, the Safety, Rehabilitation and Compensation Commission, and the Seafarers Safety, Rehabilitation and Compensation Authority................67

Fair Work Commission..............................................................................................97

Fair Work Ombudsman............................................................................................119

Office of the Fair Work Building Industry Inspectorate........................................141

Safe Work Australia.................................................................................................161

Workplace Gender Equality Agency.......................................................................183

7

Department of Employment

Entity resources and planned performance

DEPARTMENT OF EMPLOYMENT

Section 1: Entity overview and resources...............................................................131.1 Strategic direction statement..........................................................................131.2 Entity resource statement..............................................................................151.3 Budget measures...........................................................................................18

Section 2: Outcomes and planned performance.....................................................202.1 Budgeted expenses and performance for Outcome 1....................................212.2 Budgeted expenses and performance for Outcome 2....................................28

Section 3: Budgeted financial statements...............................................................343.1 Budgeted financial statements.......................................................................343.2 Budgeted financial statements tables............................................................35

11

Department of Employment Budget Statements

DEPARTMENT OF EMPLOYMENT

Section 1: Entity overview and resources

1.1 STRATEGIC DIRECTION STATEMENT

Employment is central to national economic strength and wellbeing. The purpose of the Department of Employment is to provide policy advice and deliver programs that further the Australian Government’s agenda to create more jobs, increase productivity and foster safe and fair workplaces. The department has two Outcomes: Foster a productive and competitive labour market through

employment policies and programs that assist job seekers into work, meet employer needs and increase Australia’s workforce participation.

Facilitate jobs growth through policies that promote fair, productive and safe workplaces.

To achieve these outcomes, the major priorities in 2016–17 include: lifting young people’s employability skills and providing them with

real work experience by implementing a suite of measures under the Government’s Youth Employment Package, central to which is the Youth Jobs PaTH which includes employability skills training, internship placements, the Youth Bonus wage subsidy and the employer mobilisation strategy to encourage participation in the initiative by employers

delivering efficient and effective employment services, helping more job seekers find and keep a job, through the continued implementation of jobactive

encouraging more businesses to employ eligible job seekers, helping expand businesses and boost the economy, including through improved wage subsidies and reducing red tape for employers

encouraging entrepreneurship and self-employment among young people, including through the expansion of the New Enterprise Incentive Scheme to assist up to 8600 participants each year start and manage their own small business by providing nationally-accredited training, mentoring and business advice and other support

supporting young people and parents to prepare for employment through the continued delivery of the Transition to Work service, Empowering YOUth initiatives and ParentsNext

13


providing work-like experiences for job seekers, improving job prospects and developing employability skills, while contributing to community activities through the National Work Experience Programme and Work for the Dole

strengthening the job seeker compliance framework so that it provides the necessary incentive for job seekers to comply with their mutual obligation requirements

developing policies to improve workforce participation opportunities for all Australians, specifically young people, mature-age people, Indigenous Australians, women and parents

assisting workers who have unpaid employment entitlements when they are made redundant by the liquidation or bankruptcy of their employer

working cooperatively and productively to ensure an effective, productive and fair national workplace relations system

contributing to higher productivity through implementation of national approaches to workplace health and safety and workers’ compensation laws, as well as advising government on reforms to improve the Comcare workers’ compensation scheme

providing legal and policy advice on the operation of the national workplace relations system

engaging with relevant international forums to promote Australia’s national interests and inform domestic policies

identifying and implementing opportunities to contribute to the government’s deregulation agenda by reducing unnecessary compliance burdens and leading cultural change.

The unemployment rate—particularly amongst young people—and future changes in the nature of the workplace and workforce participation are ongoing challenges for the department. Development of evidence-based policies and the formulation of long-term strategies to shape the future of Australia’s labour force will assist the department to meet these challenges. Further information about the activities of the Department of Employment can be found at www.employment.gov.au and in the Department of Employment Corporate Plan 2015–2019.Budget measures for 2016–17 for the department are presented in Table 1.2.

14


1.2 ENTITY RESOURCE STATEMENT

Table 1.1 shows the total funding from all sources available to the entity for its operations and to deliver programs and services on behalf of the government. The table summarises how resources will be applied by outcome (government strategic policy objectives) and by administered (on behalf of the government or the public) and departmental (for the entity’s operations) classification.For more detailed information please refer to Budget Paper No. 4—Agency Resourcing.Information in this table is presented on a resourcing (i.e. appropriations/cash available) basis, whilst the ‘Budgeted expenses by Outcome X’ tables in Section 2 and the financial statements in Section 3 are presented on an accrual basis. Table 1.1: Department of Employment resource statement—Budget estimates for 2016–17 as at Budget May 2016

2015–16 Estimated actual

$'000

2016–17 Estimate

$'000

DepartmentalAnnual appropriations - ordinary annual services (a)

Prior year appropriations available 115,528 111,713Departmental appropriation (b) (c) 280,305 283,528s 74 retained revenue receipts (d) 19,604 13,604Departmental capital budget (e) 27,378 27,310

Annual appropriations - other services - non-operating (f)Equity injection 15,408 6,253

Total departmental annual appropriations 458,223 442,408Total departmental resourcing 458,223 442,408AdministeredAnnual appropriations - ordinary annual services (a)

Prior year appropriations available (g) 126,664 -Outcome 1 (h) 1,250,502 1,645,006Outcome 2 21,672 19,517Payments to corporate entities (i) 7,727 6,119

15


Table 1.1: Department of Employment resource statement—Budget estimates for 2016–17 as at Budget May 2016 (continued)


$'000

2016–17 Estimate

$'000Total administered annual appropriations 1,406,565 1,670,642Total administered special appropriations (j) 533,652 425,660less payments to corporate entities from annual/special appropriations 7,727 6,119Total administered resourcing 1,932,490 2,090,183Total resourcing for Department of Employment 2,390,713 2,532,591

Prepared on a resourcing (i.e. appropriations available) basis.

Please note: All figures shown above are GST exclusive—these may not match figures in the cash flow statement.

(a) Appropriation Bill (No.1) 2016–17.

(b) Excludes $5.1m subject to quarantine by Department of Finance under section 51 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act). For this reason the figures do not align to Budget Paper 4.

(c) There is a difference of $0.3m between the appropriation revenue recognised in Table 3.1 and the appropriation shown in the agency resource table due to 2015–16 supplementary appropriation that was not included in the appropriation bills due to timing.

(d) Estimated retained revenue receipts under section 74 of the PGPA Act.(e) Departmental capital budgets are not separately identified in Appropriation Bill (No.1) and form part of

ordinary annual services items. Please refer to Table 3.5 for further details. For accounting purposes, this amount has been designated as a 'contribution by owner’.

(f) Appropriation Bill (No.2) 2016–17.(g) Excludes $135.6m subject to quarantine by Department of Finance under section 51 of the Public

Governance, Performance and Accountability Act 2013 (PGPA Act). For this reason the figures do not align to Budget Paper 4.

(h) Excludes $272.5m subject to quarantine by Department of Finance under section 51 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act). For this reason the figures do not align to Budget Paper 4.

(i) Corporate entities are corporate Commonwealth entities and Commonwealth companies as defined under the PGPA Act.

(j) Excludes Special Public Money held in accounts like Other Trust Monies accounts (OTM), Services for Other Government and Non-agency Bodies accounts (SOG) or Services for Other Entities and Trust Moneys accounts (SOETM)). For further information on special appropriations and special accounts, please refer to Budget Paper No. 4—Agency Resourcing. Please also see Table 2.1 for further information on outcome and program expenses broken down by various funding sources, e.g. annual appropriations, special appropriations and special accounts.

16


Table 1.1: Department of Employment resource statement—Budget estimates for 2016–17 as at Budget May 2016 (continued)Third party payments from and on behalf of other entities

17


2015–16 Estimated

actual $'000

2016–17 Estimate

$'000Payments made by other entities on behalf of Department of Employment (disclosed above)

34,234 15,686

Receipts received from other entities for the provision of services(disclosed above in s74 Retained revenue receipts section above)

19,604 13,604

Payments made to corporate entities w ithin the Portfolio Comcare (Annual Appropriation Bill 1) 7,727 6,119

1.3 BUDGET MEASURES

Budget measures in Part 1 relating to the Department of Employment are detailed in Budget Paper No. 2 and are summarised below.

18


Table 1.2: Entity 2016–17 Budget measuresPart 1: Measures announced since the 2015–16 Mid-Year Economic and Fiscal Outlook (MYEFO)

Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000Revenue measures Seacare Scheme - cost recovery arrangements 2.3

Administered revenues - nfp nfp nfp nfpDepartmental revenues - nfp nfp nfp nfp

Total - nfp nfp nfp nfpTotal revenue measures

Administered - nfp nfp nfp nfpDepartmental - nfp nfp nfp nfp

Total - nfp nfp nfp nfpExpense measures A Streamlined Pathw ay to Permanent Residence for New Zealand Citizens (a) 1.1

Administered expenses - - - - 184 Departmental expenses - - - - -

Total - - - - 184 Job Commitment Bonus - cessation 1.1

Administered expenses - (47,677) (63,571) (62,732) (62,178) Departmental expenses - - (192) (263) (264)

Total - (47,677) (63,763) (62,995) (62,442) National Disability Insurance Scheme Savings Fund (b) 1.1

Administered expenses - 124 422 655 613 Departmental expenses - - - - -

Total - 124 422 655 613 Youth Employment Package - encouraging entrepreneurship and self-employment 1.1

Administered expenses - 13,503 22,265 22,365 22,568 Departmental expenses - 1,777 1,963 1,663 1,591

Total - 15,280 24,228 24,028 24,159 Youth Employment Package - Youth Jobs PaTH (Prepare - Trial - Hire) 1.1

Administered expenses - (5,923) 61,216 75,170 75,130 Departmental expenses - 4,975 6,647 6,523 6,209

Total - (948) 67,863 81,693 81,339

19


Table 1.2: Entity 2016–17 Budget measuresPart 1: Measures announced since the 2015–16 Mid-Year Economic and Fiscal Outlook (MYEFO) (continued)

Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000Youth Employment Package - Work for the Dole - reform 1.1

Administered expenses - (113,860) (108,788) (110,394) (109,865) Departmental expenses - 15 - - -

Total - (113,845) (108,788) (110,394) (109,865) Total expense measures

Administered - (153,833) (88,456) (74,936) (73,548) Departmental - 6,767 8,418 7,923 7,536

Total - (147,066) (80,038) (67,013) (66,012) Capital measures Youth Employment Package - encouraging entrepreneurship and self-employment 1.1

Administered capital - - - - - Departmental capital - 877 - - -

Total - 877 - - - Youth Employment Package - Youth Jobs PaTH (Prepare - Trial - Hire) 1.1

Administered capital - - - - - Departmental capital - 4,798 - - -

Total - 4,798 - - - Youth Employment Package - Work for the Dole - reform 1.1

Administered capital - - - - - Departmental capital - 278 - - -

Total - 278 - - - Total capital measures

Administered capital - - - - - Departmental capital - 5,953 - - -

Total - 5,953 - - -

(a) The lead entity for measure A Streamlined Pathway to Permanent Residence for New Zealand Citizens is the Department of Immigration and Border Protection. The full measure description and package details appear in Budget Paper No. 2 under the Immigration and Border Protection portfolio.

(b) The lead entity for measure National Disability Insurance Scheme Saving Fund is the Department of Social Services. The full measure description and package details appear in Budget Paper No. 2 under the Social Services portfolio.

Prepared on a Government Finance Statistics (fiscal) basis. Figures displayed as a negative (-) represent a decrease in funds and a positive (+) represent an increase in funds.

20


Section 2: Outcomes and planned performance

Government outcomes are the intended results, impacts or consequences of actions by the Government on the Australian community. Commonwealth programs are the primary vehicle by which government entities achieve the intended results of their outcome statements. Entities are required to identify the programs which contribute to government outcomes over the Budget and forward years.Each outcome is described below together with its related programs. The following provides detailed information on expenses for each outcome and program, further broken down by funding source.

Note:From 1 July 2015, performance reporting requirements in the Portfolio Budget Statements sit alongside those required under the enhanced Commonwealth performance framework. It is anticipated that the performance criteria described in Portfolio Budget Statements will be read with broader information provided in an entity’s corporate plans and annual performance statements—included in annual reports from October 2016—to provide an entity’s complete performance story.

21


2.1 BUDGETED EXPENSES AND PERFORMANCE FOR OUTCOME 1Outcome 1: Foster a productive and competitive labour market through employment policies and programmes that assist job seekers into work, meet employer needs and increase Australia’s workplace participation.

Linked programs

Department of Human Services Program 1.1: Services to the Community—Social Security and

Welfare

Contribution to Outcome 1 made by linked programsThe Department of Human Services makes payments on behalf of the Department of Employment.

Department of Social Services Program 1.10: Working Age Payments

Contribution to Outcome 1 made by linked programsThe jobactive program is closely linked to the Social Services portfolio through providing means in which job seekers receiving working age income support can meet their mutual obligation requirements and also providing services to help those job seekers to find work.

22


Budgeted expenses for Outcome 1This table shows how much the entity intends to spend (on an accrual basis) on achieving the outcome, broken down by program, as well as by Administered and Departmental funding sources. Table 2.1.1: Budgeted expenses for Outcome 1

2015–16 Estimated

actual$'000

2016–17Budget

$'000

2017–18 Forw ard estimate

$'000


$'000

2019–20Forw ard estimate

$'000

Administered expensesjobactive 1,180,356 1,506,292 1,584,790 1,599,846 1,601,364Job Commitment Bonus 34,234 15,686 - - -Empow ering YOUth Initiatives 10,100 17,600 17,600 5,050 50ParentsNext 2,721 14,322 21,080 20,191 20,191Transition to Work 18,541 89,405 96,855 99,618 99,618Seasonal Worker Programme 1,277 1,701 1,727 1,752 1,780Mature Age Employment 3,273 - - - -

Administered total 1,250,502 1,645,006 1,722,052 1,726,457 1,723,003Total expenses for Program 1.1 1,250,502 1,645,006 1,722,052 1,726,457 1,723,003

Administered expensesOrdinary annual services (Appropriation Bill No. 1)

1,250,502 1,645,006 1,722,052 1,726,457 1,723,003

Administered total 1,250,502 1,645,006 1,722,052 1,726,457 1,723,003Departmental expenses

Departmental appropriation 210,229 214,338 217,253 216,747 215,390s 74 Retained revenue receipts (a) 14,703 10,203 10,203 10,203 10,203Expenses not requiring appropriation in the Budget year (b)

18,638 21,556 22,312 22,289 22,298

Departmental total 243,570 246,097 249,768 249,239 247,891Total expenses for Outcome 1 1,494,072 1,891,103 1,971,820 1,975,696 1,970,894

2015–16 2016–17Average staffing level (number) 1,273 1,309

Program 1.1: Employment Services

Outcome 1 Totals by appropriation type

(a) Estimated expenses incurred in relation to receipts retained under section 74 of the PGPA Act.

(b) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses and audit fees.

Note: Departmental appropriation splits and totals are indicative estimates and may change in the course of the budget year as government priorities change.

23


Table 2.1.2: Performance criteria for Outcome 1Table 2.1.2 below details the performance criteria for each program associated with Outcome 1. It also summarises how each program is delivered and where 2016–17 Budget measures have created new programs or materially changed existing programs.

Outcome 1—Foster a productive and competitive labour market through employment policies and programs that assist job seekers into work.

Program 1.1—Employment services The Australian Government’s employment services system—jobactive—has four key objectives: help job seekers find and keep a job; help job seekers move from welfare to work; help job seekers meet their mutual obligations; and that jobactive organisations deliver quality services. The objectives of Program 1.1 contribute to Outcome 1 by helping job seekers move into employment.

Purpose Our role is to foster a productive and competitive labour market through employment policies and programs that increase workforce participation and facilitate jobs growth.1

Delivery jobactive services include:• assisting job seekers to find and keep a job and ensuring employers are

provided with job seekers who meet their business needs• Work for the Dole and the National Work Experience Programme provide

job seekers with work-like experience and make a positive contribution to their local community

• New Enterprise Incentive Scheme assists eligible job seekers to start and run a small business

• Harvest Labour Services and the National Harvest Labour Information Service support the requirements of growers in the horticulture industry for harvest workers.

Transition to Work provides intensive assistance to young people who have disengaged from work and study.The Youth Employment Package delivers a Youth Jobs PaTH for young job seekers under 25 years to improve employment outcomes. This pathway has three elements:• Prepare: Industry endorsed Employability Skills Training for up to six weeks

to develop basic employability skills, including those required to identify and secure sustainable employment.

• Trial: Up to 30,000 internship placements of four to 12 weeks will be offered each year to enable businesses and job seekers to trial their employment fit.

• Hire: An enhanced Youth Bonus wage subsidy of up to $10,000 for job seekers under 25 years with barriers to employment and up to $6,500 for the most job-ready job seekers to support the employment of young people.

The Youth Employment Package also encourages entrepreneurship and self-employment including through expansion of the New Enterprise Incentive

1 The Department of Employment’s purpose statement is published within the Department of Employment Corporate Plan 2015–19.

24


Scheme.In addition to jobactive, the Seasonal Worker Programme is designed to assist Australia’s closest regional neighbours. It helps Australian businesses to employ workers from participating Pacific Island countries and Timor-Leste when they cannot find enough local labour to satisfy seasonal demand in the agriculture and accommodation industries.

Performance information1

Year Performance criteria Targets

2015–16 Job seekers find and keep a job

• Count of job placements: 380,000, including38,000 Indigenous placementsForecast achievement against 2015–16 target is 380,000 including 38,000 Indigenous placements

• Proportion of job placements sustained to four weeks: 68%Forecast achievement against 2015–16 target is 55%

• Proportion of job placements sustained to 12 weeks: 44%Forecast achievement against 2015–16 target is 45%

• Proportion of job placements sustained to 26 weeks: 24%Forecast achievement against 2015–16 target is 25%

• Proportion of job seekers employed 3 months following participation in employment services:

Stream A 55%Stream B 35%Stream C 25%Overall 45%

Forecast achievement against 2015–16 targets is:


1 New or modified performance criteria that reflect new or materially changed programs are shown in underlined italics.

25


Performance information


2016–17 Job seekers find and keep a job

• Count of job placements: 380,000, including 38,000 Indigenous placements

• Proportion of job placements sustained to four weeks1: 55%

• Proportion of job placements sustained to 12 weeks: 45%

• Proportion of job placements sustained to 26 weeks2: 25%

• Proportion of job seekers employed 3 months following participation in employment services:


2017–18 and beyond

Job seekers find and keep a job

As per 2016–17

2015–16 Job seekers move from welfare to work

• Proportion of job seekers moving off income support, or with reduced reliance on income support, six months after participation in jobactive: 40%Forecast achievement against 2015–16 target is 40%

• Cost per employment outcome: $25003

Forecast achievement against 2015–16 target is $2500

2016–17 Job seekers move from welfare to work

As per 2015–16


Job seekers move from welfare to work

As per 2015–16

2016–17 Young people move into work or education

• Proportion of placements sustained to a 12 week Employment or Hybrid Outcome 4 , or a 26 week Education Outcome: 45%

• Proportion of placements that are converted to Sustainability Outcomes 5 : : 25%

1 Only job placements which are eligible for a paid four, 12 and 26 week outcome will be included in the respective sustainability measures.3 Program costs take into account expenditure such as Employment Fund expenditure, service fees and paid outcomes. The number of employment outcomes is taken from the estimated number of job seekers who are employed three months following participation in the program.2 The targets for the outcome conversion rate performance measures included in the 2015–16 PBS were based on data under the previous employment services program, Job Services Australia. The outcome conversion rates have been revised incorporating the first nine months of jobactive to produce more meaningful targets that better reflect the objectives of the program.4 A Hybrid Outcome is 25 hours per week combining Employment and Education.5 A Sustainability Outcome is 26 weeks of Employment, or 26 weeks combining Employment and Education for 25 hours per week. Only placements which are eligible for a Sustainability Outcome will be included in the sustainability measure.

26




• Proportion of Transition to Work participants moving off income support, with reduced reliance on income support, or on to Youth Allowance (student) 6 months after participation in the service 1 : 28%


Young people move into work or education

As per 2016–17

2015–16 Job seekers meet their mutual obligations

• Proportion of Work for the Dole participants reporting increased motivation to find a job: 75%Forecast achievement against 2015–16 target is 75%

• Proportion of jobactive appointments attended (for activity tested job seekers, excluding when job seeker had a valid reason for not attending): 90%Forecast achievement against 2015–16 target is 90%

• Proportion of job seekers (with Mutual Obligation requirements) actively looking for work: 95%Forecast achievement against 2015–16 target is 95%

2016–17 Job seekers meet their mutual obligations

As per 2015–16


Job seekers meet their mutual obligations

As per 2015–16

2015–16 jobactive organisations deliver quality services

• Proportion of employers satisfied with the assistance provided by a jobactive organisation: 80%Forecast achievement against 2015–16 target is 80%

• Proportion of jobactive organisations that meet the service delivery requirements: 80%Forecast achievement against 2015–16 target is 80%

2016–17 jobactive organisations deliver quality services

As per 2015–16


jobactive organisations deliver quality services

As per 2015–16

Material changes to Program 1.1 resulting from the following measures:Material changes will result from the Youth Employment package and cessation of the Job Commitment Bonus measures.

1 Only participants receiving income support will be included in this measure.

27


2.2 BUDGETED EXPENSES AND PERFORMANCE FOR OUTCOME 2Outcome 2: Facilitate jobs growth through policies that promote fair, productive and safe workplaces.


2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

Administered expensesGeneral Employee Entitlements and Redundancy Scheme

272 - - - -

Fair Entitlements Guarantee 6,025 6,805 1,750 1,750 1,750Special appropriations

Coal Mining Industry (LSL) Act 1992 154,618 154,618 154,618 154,618 154,618Fair Entitlements Guarantee Act 2012 315,193 207,264 195,532 194,591 193,195

Administered total 476,108 368,687 351,900 350,959 349,563Total expenses for Program 2.1 476,108 368,687 351,900 350,959 349,563

Administered expensesInternational Labour Organization Subscription

10,301 10,877 11,112 11,208 11,405

Protected Action Ballots Scheme 1,600 1,600 1,600 1,600 1,600Centre for Workplace Leadership 3,133 - - - -


Program 2.1: Employee Assistance

Program 2.2: Workplace Assistance

28


Table 2.2.1: Budgeted expenses for Outcome 2 (continued)2015–16

Estimated actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

Administered expensesComcare 7,727 6,119 6,160 6,198 6,241

Special appropriationsAsbestos-related Claims Act 2005 28,637 30,045 28,316 29,787 30,750Safety, Rehabilitation & Compensation Act 1998

35,174 33,703 32,517 31,253 29,486


Administered expensesOrdinary annual services (Appropriation Bill No. 1)

29,058 25,401 20,622 20,756 20,996

Special appropriations 533,622 425,630 410,983 410,249 408,049Administered total 562,680 451,031 431,605 431,005 429,045

Departmental expensesDepartmental appropriation 70,076 69,190 69,612 69,608 69,285s 74 Retained revenue receipts (a) 4,901 3,401 3,401 3,401 3,401Expenses not requiring appropriation in the Budget year (b)

6,369 6,614 6,414 6,248 6,120

Departmental total 81,346 79,205 79,427 79,257 78,806Total expenses for Outcome 2 644,026 530,236 511,032 510,262 507,851

2015–16 2016–17Average staffing level (number) 497 498

Program 2.3: Workers' Compensation Payments





29



Outcome 2—Facilitate jobs growth through policies that promote fair, productive and safe workplaces.

Program 2.1—Employee assistanceContributes to Outcome 2 through the promotion of fair workplaces by ensuring the protection of employee entitlements in certain circumstances.

Purpose Our role is to foster a productive and competitive labour market through employment policies and programs that increase workforce participation, and facilitate jobs growth through policies that promote fair, productive and safe workplaces.

Delivery To promote fair workplaces by ensuring the protection of employee entitlements in certain circumstances, the program delivers two services:• Fair Entitlements Guarantee—established under the Fair Entitlements

Guarantee Act 2012 to provide financial assistance for certain unpaid employment entitlements when an employee loses their job through the liquidation or bankruptcy of their employer on or after 5 December 2012.

• Coal Mining Industry (Long Service Leave) Administration Act 1992 financing arrangements—under this Act the cost of portable long service leave entitlements is managed through a central fund administered by the Coal Mining Industry (Long Service Leave Funding) Corporation. Monthly levy collection transfers are made from the consolidated revenue fund to the central fund.



Year Performance criteria(a) Targets

2015–16 Fair Entitlements Guarantee program functions effectively

• Fair Entitlements Guarantee—percentage of claims processed within 16 weeks of receipt of an effective claim: 80%Forecast achievement against 2015–16 target is 92%

• Fair Entitlements Guarantee—average processing time for all claims: 14 weeksForecast achievement against 2015–16 target is 11 weeks

• Fair Entitlements Guarantee—claim payments are correct: 95%

• Forecast achievement against 2015–16 target is 95%, subject to annual audit processes

• Fair Entitlements Guarantee—claimants satisfied with the department’s administration of Fair Entitlements Guarantee: 80%Forecast achievement against 2015–16 target is 80%

• Fair Entitlements Guarantee—insolvency Practitioners satisfied with the administration of Fair Entitlements Guarantee: 80%Forecast achievement against 2015–16 target is 80%

2016–17 Fair Entitlements Guarantee program functions effectively

As per 2015–16


Fair Entitlements Guarantee program functions effectively

As per 2015–16

Material changes to Program 2.1 resulting from the following measures:Nil

(a) New or modified performance criteria that reflect new or materially changed programs are shown in underlined italics.

31



Program 2.2—Workplace assistanceContributes to Outcome 2 and to the Government’s productivity agenda by ensuring the operation of the workplace relations system through initiatives designed to encourage employers and employees to adopt flexible and modern workplace relations.

Purpose Our role is to foster a productive and competitive labour market through employment policies and programs that increase workforce participation, and facilitate jobs growth through policies that promote fair, productive and safe workplaces.

Delivery The department manages the following in delivering Program 2.2:• Protected Action Ballots Scheme—costs incurred by the Australian

Electoral Commission in relation to protected action ballots. A protected action ballot is a statutory prerequisite to protected industrial action under the Fair Work Act.

• International Labour Organization (ILO)—the Australian Government’s annual membership subscription to the ILO. The government works with other member states and representatives from employer and employee organisations to: participate in international policy discussions on labour issues; contribute to technical cooperation in the Asia-Pacific region; report on standards at the national level; and, participate as a member of the ILO Governing Body.

• Australian Government Building and Construction WHS Accreditation Scheme (the Accreditation Scheme)—only companies accredited by the Office of the Federal Safety Commissioner (OFSC) can undertake most Commonwealth-funded building and construction projects. Accreditation requires high quality work health and safety systems and practices which reduces safety incidents and promotes safer workplaces in the building and construction industry.

Performance measures

Year Performance criteria (b) Targets

2015–16 Commonwealth-funded projects are undertaken by builders accredited by the Office of the Federal Safety Commissioner

• Level of satisfaction of clients with the provision of advice, information, education and promotion of safer workplaces on Australian Government construction sites(c): Effective or above

Forecast achievement against 2015–16 target is Effective or above• Percentage of accreditation applications

assessed and contact made with the applicant within 10 working days of initial application for accreditation: 90%

Forecast achievement against 2015–16 target is 90%

32



2016–17 Commonwealth-funded projects are undertaken by builders accredited by the Office of the Federal Safety Commissioner

• Percentage of accreditation applications assessed and contact made with the applicant within 10 working days: 90%

• Satisfaction of accredited companies with the service provided by the OFSC: majority rate the level of service as satisfactory or better

• Companies consider that workplace safety has improved due to accreditation: Majority of companies say accreditation has improved their safety performance


Commonwealth-funded projects are undertaken by builders accredited by the Office of the Federal Safety Commissioner

As per 2016–17


(b) The full set of key performance indicators for the OFSC will be published annually as part of the Australian Government’s Regulator Performance Framework.

(c) This performance measure will be discontinued from 2016–17 and replaced by the new satisfaction performance measures that are based on broader and more robust data.


Program 2.3—Workers’ compensation paymentsManaged by Comcare, and contributes to Outcome 2 by managing the Comcare Workers’ Compensation Scheme.Further information can be found in the Comcare, the Safety, Rehabilitation and Compensation Commission, and the Seafarers Safety, Rehabilitation and Compensation Authority section of this document.

33


Section 3: Budgeted financial statements

Section 3 presents budgeted financial statements which provide a comprehensive snapshot of entity finances for the 2016–17 budget year, including the impact of budget measures and resourcing on financial statements.3.1 BUDGETED FINANCIAL STATEMENTS

3.1.1 Differences between entity resourcing and financial statementsThere is a difference of $0.3 million between the appropriation revenue recognised in Table 3.1 and the appropriation shown in the agency resource table. 2015–16 supplementary appropriation was not included in the appropriation bills due to timing.3.1.2 Explanatory notes and analysis of budgeted financial statementsDepartmentalThe department is budgeting for an operating loss equal to the unappropriated depreciation and amortisation expense of $27.7 million for the 2016–17 financial year.Total revenues are estimated to be $284.7 million and total expenses $325.0 million.Total assets at the end of the 2016–17 financial year are estimated to be $262.9 million. The majority of the assets represent receivables (appropriations receivables).Total liabilities for 2016–17 are estimated at $116.8 million. The largest liability item is accrued employee entitlements.AdministeredAdministered revenues for the 2016–17 budget year are estimated to be $185.0 million, consistent with the 2015–16 estimated actual.Administered expenses in 2016–17 are estimated to be $2.1 billion, an increase of $282.9 million from the 2015–16 estimated actual. This increase is attributable to budget measures and revised program parameters.

34


3.2 BUDGETED FINANCIAL STATEMENTS TABLES

Table 3.1: Comprehensive income statement (showing net cost of services) for the period ended 30 June

2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSESEmployee benefits 197,911 208,995 215,407 213,684 213,379Suppliers 102,712 88,343 85,522 86,735 85,360Depreciation and amortisation 24,547 27,710 28,266 28,077 27,958Total expenses 325,170 325,048 329,195 328,496 326,697LESS: OWN-SOURCE INCOMEOwn-source revenueSale of goods and rendering of services 19,604 13,604 13,604 13,604 13,604External audit 460 460 460 460 460Total own-source revenue 20,064 14,064 14,064 14,064 14,064GainsOther - - - - -Total gains - - - - -Total own-source income 20,064 14,064 14,064 14,064 14,064Net (cost of)/contribution by services 305,106 310,984 315,131 314,432 312,633Revenue from Government 280,559 283,274 286,865 286,355 284,675Surplus/(deficit) attributable to the Australian Government (24,547) (27,710) (28,266) (28,077) (27,958)OTHER COMPREHENSIVE INCOMEChanges in asset revaluation surplus - - - - -Total other comprehensive income - - - - -Total comprehensive income/(loss) (24,547) (27,710) (28,266) (28,077) (27,958)Total comprehensive income/(loss) attributable to the Australian Government (24,547) (27,710) (28,266) (28,077) (27,958)

35


Table 3.1: Comprehensive income statement (showing net cost of services) for the period ended 30 June (continued)Note: Impact of net cash appropriation arrangements

2015–16$'000

2016–17$'000

2017–18$'000

2018–19$'000

2019–20$'000

Total comprehensive income/(loss) excluding depreciation/amortisation expenses previously funded through revenue appropriations.

- - - - -

less depreciation/amortisation expenses previously funded through revenue appropriations (a)

24,547 27,710 28,266 28,077 27,958

Total comprehensive income/(loss) - as per the statement of comprehensive income

(24,547) (27,710) (28,266) (28,077) (27,958)

(a) From 2010–11, the Government introduced net cash appropriation arrangements where Bill 1 revenue appropriations for the depreciation/amortisation expenses of non-corporate Commonwealth entities (and select corporate Commonwealth entities) were replaced with a separate capital budget (the Departmental Capital Budget, or DCB) provided through Bill 1 equity appropriations. For information regarding DCBs, please refer to Table 3.5 Departmental Capital Budget Statement.

Prepared on Australian Accounting Standards basis.

36


Table 3.2: Budgeted departmental balance sheet (as at 30 June)

2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000ASSETSFinancial assets

Cash and cash equivalents 2,062 2,316 2,316 2,316 2,316Trade and other receivables 120,752 116,445 115,527 114,260 111,883Other financial assets 4,094 4,094 4,094 4,094 4,094

Total financial assets 126,908 122,855 121,937 120,670 118,293 Non-financial assets

Leasehold improvements 21,748 21,637 22,801 22,238 21,788Infrastructure, plant and equipment 16,883 16,913 17,704 18,324 18,820Intangibles 83,038 89,472 86,481 85,737 85,310Other non-financial assets 12,011 12,011 12,011 12,011 12,011

Total non-financial assets 133,680 140,033 138,997 138,310 137,929 Assets held for sale - - - - -

Total assets 260,588 262,888 260,934 258,980 256,222 LIABILITIESPayables

Suppliers 17,137 17,918 18,755 19,195 19,229Other payables 39,831 36,027 33,745 31,403 29,003

Total payables 56,968 53,945 52,500 50,598 48,232 Provisions

Employee provisions 62,260 62,037 62,732 63,468 63,558Other provisions 1,650 843 675 574 473

Total provisions 63,910 62,880 63,407 64,042 64,031 Total liabilities 120,878 116,825 115,907 114,640 112,263 Net assets 139,710 146,063 145,027 144,340 143,959 EQUITY*Parent entity interest

Contributed equity 198,471 232,534 259,764 287,154 314,731Reserves 3,376 3,376 3,376 3,376 3,376Retained surplus (accumulated deficit) (62,137) (89,847) (118,113) (146,190) (174,148)

Total parent entity interest 139,710 146,063 145,027 144,340 143,959Total equity 139,710 146,063 145,027 144,340 143,959

* Equity is the residual interest in assets after deduction of liabilities.


37


Table 3.3: Departmental statement of changes in equity—summary of movement (Budget year 2016–17)

Retained earnings

$'000

Asset revaluation

reserve$'000

Contributed equity/ capital$'000

Total equity

$'000Opening balance as at 1 July 2016

Balance carried forw ard from previous period (62,137) 3,376 198,471 139,710

Adjustment for changes in accounting policies - - - -Adjusted opening balance (62,137) 3,376 198,471 139,710Comprehensive income

Other comprehensive income - - - -Surplus/(deficit) for the period (27,710) - - (27,710)

Total comprehensive income (27,710) - - (27,710)of w hich:

Attributable to the Australian Government (27,710) - - (27,710)Transactions with owners

Contributions by ownersEquity injection - Appropriation - - 6,253 6,253Departmental capital budget (DCB) - - 27,810 27,810

Sub-total transactions with owners - - 34,063 34,063Transfers betw een equity

Transfers betw een equity components - - - -Estimated closing balance as at 30 June 2017 (89,847) 3,376 232,534 146,063

Less: non-controlling interests - - - -Closing balance attributable to the Australian Government (89,847) 3,376 232,534 146,063


38


Table 3.4: Budgeted departmental statement of cash flows (for the period ended 30 June)

2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000OPERATING ACTIVITIESCash received

Appropriations 280,115 286,662 286,968 286,806 286,237Sale of goods and rendering of services 19,604 13,604 13,604 13,604 13,604Net GST received 10,272 8,834 8,553 8,673 8,536

Total cash received 309,991 309,100 309,125 309,083 308,377Cash used

Employees 198,199 209,190 214,601 212,896 213,296Suppliers 105,434 87,973 82,142 83,490 82,407s 74 Retained revenue receipts transferred to OPA

10,617 11,683 12,382 12,697 12,674

Total cash used 314,250 308,846 309,125 309,083 308,377Net cash from/(used by) operating activities (4,259) 254 - - -INVESTING ACTIVITIESCash received

Proceeds from sales of infrastructure, plant and equipment

- - - - -

Total cash received - - - - -Cash used

Purchase of infrastructure, plant and equipment and intangibles

46,956 34,063 27,230 27,390 27,577

Total cash used 46,956 34,063 27,230 27,390 27,577Net cash from/(used by) investing activities (46,956) (34,063) (27,230) (27,390) (27,577)FINANCING ACTIVITIESCash received

Contributed equity 46,956 34,063 27,230 27,390 27,577Total cash received 46,956 34,063 27,230 27,390 27,577Cash used

Other - - - - -Total cash used - - - - -Net cash from/(used by) financing activities 46,956 34,063 27,230 27,390 27,577Net increase/(decrease) in cash held (4,259) 254 - - -

Cash and cash equivalents at the beginning of the reporting period 6,321 2,062 2,316 2,316 2,316

Cash and cash equivalents at the end of the reporting period 2,062 2,316 2,316 2,316 2,316


39


Table 3.5: Departmental capital budget statement (for the period ended 30 June)

2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000NEW CAPITAL APPROPRIATIONS

Capital budget - Bill 1 (DCB) 27,378 27,310 27,230 27,390 27,577Equity injections - Bill 2 15,408 6,253 - - -

Total new capital appropriations 42,786 33,563 27,230 27,390 27,577Provided for:

Purchase of non-financial assets 42,786 33,563 27,230 27,390 27,577Total items 42,786 33,563 27,230 27,390 27,577

PURCHASE OF NON-FINANCIAL ASSETSFunded by capital appropriations (a) 15,408 6,253 - - -Funded by capital appropriation - DCB (b) 31,548 27,810 27,230 27,390 27,577

TOTAL 46,956 34,063 27,230 27,390 27,577RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLETotal purchases 46,956 34,063 27,230 27,390 27,577

Total cash used to acquire assets 46,956 34,063 27,230 27,390 27,577

(a) Includes both current Bill 2 and prior Act 2/4/6 appropriations and special capital appropriations.

(b) Does not include annual finance lease costs. Includes purchases from current and previous years’ Departmental capital budgets (DCBs).


40


Table 3.6: Statement of asset movements (Budget year 2016–17)

Leasehold improvements

$'000

Infrastructure, plant and

equipment$'000

Computer softw are and

intangibles$'000

Total

$'000As at 1 July 2016

Gross book value 34,738 30,687 113,932 179,357Accumulated depreciation/amortisation and impairment

(12,990) (13,804) (30,894) (57,688)

Opening net book balance 21,748 16,883 83,038 121,669Capital asset additions

Estimated expenditure on new or replacement assetsBy purchase - appropriation equity (a) 4,709 3,785 25,569 34,063Total additions 4,709 3,785 25,569 34,063Other movementsDepreciation/amortisation expense (4,820) (3,755) (19,135) (27,710)Total other movements (4,820) (3,755) (19,135) (27,710)

As at 30 June 2017Gross book value 39,447 34,472 139,501 213,420Accumulated depreciation/ amortisation and impairment

(17,810) (17,559) (50,029) (85,398)

Closing net book balance 21,637 16,913 89,472 128,022

(a) Appropriation equity refers to Appropriation Bill (No. 1) 2015–16 for depreciation/amortisation expenses, DCBs or other operational expenses and equity injections appropriations provided through Appropriation Bill (No. 2) 2015–16, including CDABs.


41


Table 3.7: Schedule of budgeted income and expenses administered on behalf of Government (for the period ended 30 June)

2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSES

Suppliers 1,125,287 1,329,410 1,375,780 1,374,964 1,384,295Subsidies 193,420 371,350 377,875 394,631 385,465Personal benefits 407,078 294,023 294,288 295,088 295,620Grants 87,397 101,254 105,714 92,779 86,668

Total expenses administered on behalf of Government 1,813,182 2,096,037 2,153,657 2,157,462 2,152,048LESS:OWN-SOURCE INCOMEOwn-source revenueTaxation revenue

Other taxes 154,618 154,618 154,618 154,618 154,618Total taxation revenue 154,618 154,618 154,618 154,618 154,618Non-taxation revenue

Recoveries 23,632 23,632 23,632 23,632 23,632Other revenue 6,753 6,753 6,753 6,753 6,753

Total non-taxation revenue 30,385 30,385 30,385 30,385 30,385Total own-source revenue administered on behalf of Government 185,003 185,003 185,003 185,003 185,003Total own-sourced income administered on behalf of Government 185,003 185,003 185,003 185,003 185,003Net cost of/(contribution by) services 1,628,179 1,911,034 1,968,654 1,972,459 1,967,045Surplus/(deficit) (1,628,179) (1,911,034) (1,968,654) (1,972,459) (1,967,045)OTHER COMPREHENSIVE INCOMEItems not subject of subsequent

Changes in asset revaluation surplus - - - - -Total other comprehensive income - - - - -Total comprehensive income/(loss) (1,628,179) (1,911,034) (1,968,654) (1,972,459) (1,967,045)


42


Table 3.8: Schedule of budgeted assets and liabilities administered on behalf of Government (as at 30 June)

2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000ASSETS Financial assets

Taxation receivables 14,002 14,002 14,002 14,002 14,002Trade and other receivables 18,267 18,267 18,267 18,267 18,267Other investments 224,658 224,658 224,658 224,658 224,658

Total financial assets 256,927 256,927 256,927 256,927 256,927Non-financial assets

Other non-financial assets 5,355 5,590 5,590 5,687 5,786Total non-financial assets 5,355 5,590 5,590 5,687 5,786Total assets administered on behalf of Government 262,282 262,517 262,517 262,614 262,713LIABILITIESPayables

Suppliers 52,076 52,076 52,076 52,076 52,076Subsidies 24,974 24,974 24,974 24,974 24,974Personal benefits 6,691 6,691 6,691 6,691 6,691Grants - - - - -Other payables 2,786,628 2,770,844 2,759,665 2,748,765 2,709,024

Total payables 2,870,369 2,854,585 2,843,406 2,832,506 2,792,765Total liabilities administered on behalf of Government 2,870,369 2,854,585 2,843,406 2,832,506 2,792,765Net assets/(liabilities) (2,608,087) (2,592,068) (2,580,889) (2,569,892) (2,530,052)


43


Table 3.9: Schedule of budgeted administered cash flows (for the period ended 30 June)

2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Taxes 154,618 154,618 154,618 154,618 154,618Net GST received 112,529 132,941 137,578 137,496 138,430Other 30,385 30,385 30,385 30,385 30,385


Grant 79,670 95,135 99,554 86,581 80,427Subsidies paid 193,420 371,350 377,875 394,631 385,465Personal benefits 407,078 294,023 294,288 295,088 295,620Suppliers 1,238,261 1,462,586 1,513,358 1,512,557 1,522,824Payments to corporate entities 7,727 6,119 6,160 6,198 6,241

Total cash used 1,926,156 2,229,213 2,291,235 2,295,055 2,290,577Net cash from/(used by) operating activities (1,628,624) (1,911,269) (1,968,654) (1,972,556) (1,967,144)Net increase/(decrease) in cash held (1,628,624) (1,911,269) (1,968,654) (1,972,556) (1,967,144)

Cash and cash equivalents at beginning of reporting period

104 - - - -

Cash from Off icial Public Account for:- Appropriations 1,813,553 2,096,302 2,153,687 2,157,589 2,152,177- GST appropriations 112,529 132,941 137,578 137,496 138,430

Total cash from Official Public Account 1,926,082 2,229,243 2,291,265 2,295,085 2,290,607Cash to Official Public Account for:

- Appropriations (185,033) (185,033) (185,033) (185,033) (185,033)- Return of GST appropriations (112,529) (132,941) (137,578) (137,496) (138,430)

Total cash to Official Public Account (297,562) (317,974) (322,611) (322,529) (323,463)Cash and cash equivalents at end of reporting period - - - - -


44


Table 3.10: Administered capital budget statement (for the period ended 30 June)The department has no administered capital purchases to report. For this reason Table 3.10 is not presented. Table 3.11: Statement of administered asset movements (Budget year 2016–17) The department has no administered asset movements to report. For this reason Table 3.11 is not presented.

45

ASBESTOS SAFETY AND ERADICATION AGENCY

49

Departm

ent abbreviation Budget Statements

ASEA Budget Statements

ASBESTOS SAFETY AND ERADICATION AGENCY



The Asbestos Safety and Eradication Agency (ASEA) was established by the Asbestos Safety and Eradication Agency Act 2013. The agency oversees efforts to prevent exposure to asbestos fibres in order to eliminate asbestos-related disease in Australia. ASEA works with all levels of government and stakeholders to create a nationally consistent approach to asbestos management and awareness to reduce the risks of asbestos-related diseases. ASEA provides a national focus on asbestos issues which go beyond workplace safety to encompass environmental and public health issues. The agency is supported by the Asbestos Safety and Eradication Council, which provides advice and makes recommendations to the agency. ASEA and the council work towards the achievement of the elimination of asbestos-related diseases in Australia by coordinating the National Strategic Plan for Asbestos Management and Awareness (NSP). ASEA is also responsible for the administration of the National Asbestos Exposure Register. The agency’s main functions are to: encourage, coordinate, monitor and report on the implementation

of the NSP review and amend the NSP as required publish and promote the NSP provide advice to the Minister about asbestos safety liaise with Commonwealth, state, territory and local and other

governments, agencies or bodies about the implementation of the NSP and asbestos safety

commission, monitor and promote research about asbestos safety.

The elimination of asbestos-related disease is a long-term and complex challenge. The NSP establishes a five year framework for this work. To achieve this, we need first to work towards better understanding the current risk factors and exposure pathways in the Australian community in relation to asbestos. There is no single source of evidence to measure this, and the agency will focus on building a national picture of asbestos risks in Australia. This will

51


inform responses to asbestos management and awareness to deliver behavioural change to reduce current exposure risks.

52



Table 1.1 shows the total funding from all sources available to the entity for its operations and to deliver programs and services on behalf of the government. The table summarises how resources will be applied by outcome (government strategic policy objectives), and by administered (on behalf of the government or the public) and departmental (for the entity’s operations) classification.For more detailed information please refer to Budget Paper No. 4—Agency Resourcing.Information in this table is presented on a resourcing (i.e. appropriations/cash available) basis, whilst the ‘Budgeted expenses by Outcome 1’ table in Section 2 and the financial statements in Section 3 are presented on an accrual basis. Table 1.1: Asbestos Safety and Eradication Agency resource statement—Budget estimates for 2016–17 as at Budget May 2016

2015–16 Estimated

actual $'000

2016–17 Estimate

$'000DepartmentalAnnual appropriations - ordinary annual services (a)

Prior year appropriations available (b) 5,408 5,431Departmental appropriation 3,264 4,603Departmental capital budget (c) - 59

Total departmental annual appropriations 8,672 10,093Total departmental resourcing 8,672 10,093Total resourcing for Asbestos Safety and Eradication Agency 8,672 10,093





(b) Estimated adjusted balance carried forward from previous year. (c) Departmental capital budgets are not separately identified in Appropriation Bill (No. 1) and form part of

ordinary annual services items. Please refer to Table 3.5 for further details. For accounting purposes, this amount is designated as a 'contribution by owner'.

53


1.3 BUDGET MEASURES

Table 1.2: Asbestos Safety and Eradication Agency Budget measuresBudget measures in Part 1 relating to the Asbestos Safety and Eradication Agency are detailed in Budget Paper No. 2 and are summarised below. Part 1: Measures announced since the 2015–16 Mid-Year Economic and Fiscal Outlook (MYEFO)

Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000Expense measures Asbestos Safety and Eradication Agency - additional funding

1.1

Administered expenses - - - - - Departmental expenses - 2,000 1,430 - -

Total - 2,000 1,430 - - Total expense measures

Administered - - - - - Departmental - 2,000 1,430 - -

Total - 2,000 1,430 - -


Part 2: Other measures not previously reported in a portfolio statement

Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000MeasuresPublic Sector Savings - Shared and Common Services Programme(a)

1.1

Administered expenses - - - - - Departmental expenses - (5) (10) (10) -

Total - (5) (10) (10) - Total measures

Administered - - - - - Departmental - (5) (10) (10) -

Total - (5) (10) (10) -

(a) This measure was first published in the 2015–16 Mid-Year Economic and Fiscal Outlook.


54




Note:From 1 July 2015, performance reporting requirements in the Portfolio Budget Statements sit alongside those required under the enhanced commonwealth performance framework. It is anticipated that the performance criteria described in Portfolio Budget Statements will be read with broader information provided in an entity’s corporate plans and annual performance statements—included in Annual Reports from October 2016—to provide an entity’s complete performance story.

55


2.1 BUDGETED EXPENSES AND PERFORMANCE FOR OUTCOME 1 Outcome 1: Assist in the prevention of exposure to asbestos fibres and the elimination of asbestos-related disease in Australia through implementing the National Strategic Plan for Asbestos Awareness and Management in Australia.

Budgeted expenses for Outcome 1This table shows how much the entity intends to spend (on an accrual basis) on achieving the outcome, broken down by program, as well as by administered and departmental funding sources. Table 2.1.1: Budgeted expenses for Outcome 1

2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

Departmental expensesDepartmental appropriation 3,264 4,603 4,045 1,648 1,657

Departmental total 3,264 4,603 4,045 1,648 1,657Total expenses for Program 1.1 3,264 4,603 4,045 1,648 1,657

Departmental expensesDepartmental appropriation 3,264 4,603 4,045 1,648 1,657



Program 1.1: Asbestos Safety and Eradication Agency



56


Table 2.1.2: Performance criteria for Outcome 1Table 2.1.2 below details the performance criteria for each program associated with Outcome 1. It also summarises how each program is delivered and where 2016–17 Budget measures have created new programs or materially changed existing programs. Outcome 1—Assist in the prevention of exposure to asbestos fibres and the elimination of asbestos-related disease in Australia through implementing the National Strategic Plan for Asbestos Awareness and Management in Australia.Program 1.1—Asbestos Safety and Eradication AgencyThe Asbestos Safety and Eradication Agency delivers Outcome 1 through the review, promotion, and coordination of the National Strategic Plan. To meet this objective, the agency commissions, monitors and promotes research about asbestos safety, works collaboratively with regulators, industry, agencies and other bodies across the work, environment, public health and building and construction sectors that work with asbestos and asbestos safety, and the community to improve awareness of asbestos safety.

57


Purposes1 The Asbestos Safety and Eradication Agency’s purpose is to facilitate the prevention of exposure to asbestos fibres in order to eliminate asbestos-related disease in Australia. This will be primarily achieved through the National Strategic Plan for Asbestos Awareness and Management.

Delivery The deliverables for the Asbestos Safety and Eradication Agency, through the coordination of the implementation of the National Strategic Plan for Asbestos Awareness and Management include:1. Awareness: Increase public awareness of the health risks posed by

working with or being exposed to asbestos.2. Best practice: Identify and share best practice in asbestos

management, education, handling, storage and disposal.3. Identification: Improve the identification and grading of asbestos and

sharing of information regarding the location of asbestos-containing materials (ACMs).

4. Removal: Identify priority areas where ACMs present a risk, the barriers to the safe removal of asbestos and review management and removal infrastructure to estimate the capacity and rate for the safe removal of asbestos.

5. Research: Commission, monitor and promote research into asbestos exposure pathways, prevention and asbestos-related diseases to inform policy options.

6. International leadership: Australia to continue to play a leadership role in a global campaign for a worldwide asbestos ban.

1 The Asbestos Safety and Eradication Agency’s purpose statement is published within the Asbestos Safety and Eradication Agency Corporate Plan 2015–19.




2015–16 Increase public awareness about asbestos safety.Effectively coordinate national issues that relate to the plan and asbestos issues.Identify targeted and practical initiatives to reduce the risks of asbestos-related disease in Australia.

Increase in awareness, coordination and evidence demonstrating progress in relation to the NSP and reduction in asbestos exposure risks.Assessment: On trackDemonstrated by development of resources, delivery of events, progress tracking of NSP and Asbestos Safety and Eradication Council meetings.Variation: NSP progress report expected to be published in November 2016.

2016–17 As per 2015–16 As per 2015–16


As per 2016–17 As per 2016–17 and outcomes of the first phase of the plan inform the next National Strategic Plan for Asbestos Management and Awareness


59




3.1.1 Differences between entity resourcing and financial statementsThe Asbestos Safety and Eradication Agency has nil differences to report.3.1.2 Explanatory notes and analysis of budgeted financial statementsThe Asbestos Safety and Eradication Agency is budgeting for zero operating result for the 2016–17 financial year.Total revenues are estimated to be $4.6 million and total expenses $4.6 million.Total assets at the end of the 2016–17 financial year are estimated to be $5.9 million. The majority of the assets represent appropriations receivable.Total liabilities for 2016–17 are estimated at $2.0 million. The largest liability item is supplier payables.

60


3.2.1 BUDGETED FINANCIAL STATEMENTS TABLES


2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSESEmployee benefits 1,250 1,244 1,256 1,256 1,256Suppliers 2,014 3,359 2,789 392 401Total expenses 3,264 4,603 4,045 1,648 1,657LESS: OWN-SOURCE INCOMEOwn-source revenueOther - - - - -Total own-source revenue - - - - -Total own-source income - - - - -

Net (cost of)/contribution by services (3,264) (4,603) (4,045) (1,648) (1,657)Revenue from Government 3,264 4,603 4,045 1,648 1,657

Surplus/(deficit) attributable to the Australian Government - - - - -Total comprehensive income/(loss) - - - - -

Total comprehensive income/(loss) attributable to the Australian Government - - - - -


61



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

ASSETSFinancial assets

Cash and cash equivalents 59 59 59 59 59Trade and other receivables 5,720 5,739 5,759 5,759 5,759


Property, plant and equipment - 59 119 179 239Total non-financial assets - 59 119 179 239 Total assets 5,779 5,857 5,937 5,997 6,057 LIABILITIESPayables

Other payables 1,652 1,652 1,652 1,652 1,652Total payables 1,652 1,652 1,652 1,652 1,652 Interest bearing liabilitiesProvisions

Employee provisions 370 389 409 409 409Total provisions 370 389 409 409 409 Total liabilities 2,022 2,041 2,061 2,061 2,061 Net assets 3,757 3,816 3,876 3,936 3,996 EQUITY*Parent entity interest

Contributed equity 183 242 302 362 422Retained surplus (accumulated deficit) 3,574 3,574 3,574 3,574 3,574

Total parent entity interest 3,757 3,816 3,876 3,936 3,996 Total equity 3,757 3,816 3,876 3,936 3,996



62



Retained earnings

$'000

Asset revaluation

reserve$'000


Total equity


Balance carried forw ard from previous period 3,574 - 183 3,757Adjusted opening balance 3,574 - 183 3,757Comprehensive income

Other comprehensive income - - - -Surplus/(deficit) for the period - - - -

Total comprehensive income - - - -of w hich:

Attributable to the Australian Government - - - -Transactions with owners

Contributions by ownersDepartmental capital budget (DCB) - - 59 59

Sub-total transactions with owners - - 59 59Transfers betw een equity

Transfers betw een equity components - - - -Estimated closing balance as at 30 June 2017 3,574 - 242 3,816

Less: non-controlling interests - - - -Closing balance attributable to the Australian Government 3,574 - 242 3,816


63



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Appropriations 3,241 4,584 4,025 1,648 1,657Total cash received 3,241 4,584 4,025 1,648 1,657Cash used

Employees 1,227 1,225 1,236 1,256 1,256Suppliers 2,014 3,359 2,789 392 401

Total cash used 3,241 4,584 4,025 1,648 1,657Net cash from/(used by) operating activities - - - - -INVESTING ACTIVITIESCash received

Other - - - - -Total cash received - - - - -Cash used

Purchase of property, plant and equipment and intangibles

- 59 60 60 60

Total cash used - 59 60 60 60Net cash from/(used by) investing activities - (59) (60) (60) (60)FINANCING ACTIVITIESCash received

Contributed equity - 59 60 60 60Total cash received - 59 60 60 60Cash used

Other - - - - -Total cash used - - - - -Net cash from/(used by) financing activities - 59 60 60 60Net increase/(decrease) in cash held - - - - -

Cash and cash equivalents at the beginning of the reporting period 59 59 59 59 59

Cash and cash equivalents at the end of the reporting period 59 59 59 59 59


64



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

NEW CAPITAL APPROPRIATIONSCapital budget - Bill 1 (DCB) - 59 60 60 60

Total new capital appropriations - 59 60 60 60Provided for:

Purchase of non-financial assets - 59 60 60 60Total items - 59 60 60 60

PURCHASE OF NON-FINANCIAL ASSETSFunded by capital appropriation - DCB (a) - 59 60 60 60

TOTAL - 59 60 60 60RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLETotal purchases - 59 60 60 60Total cash used to acquire assets - 59 60 60 60

(a) Does not include annual finance lease costs. Includes purchases from current and previous years’ Departmental capital budgets (DCBs).


65



Other property, plant and

equipment$'000

Total

$'000As at 1 July 2016

Gross book value - -

Accumulated depreciation/amortisation and impairment - -

Opening net book balance - -Capital asset additions

Estimated expenditure on new or replacement assets

By purchase - appropriation ordinary annual services (a) 59 59

Total additions 59 59Other movementsDepreciation/amortisation expense - -Total other movements - -

As at 30 June 2017Gross book value 59 59

Accumulated depreciation/ amortisation and impairment - -

Closing net book balance 59 59

(a) 'Appropriation ordinary annual services' refers to funding provided through Appropriation Bill (No.1) 2016–17 for depreciation/amortisation expenses, DCBs or other operational expenses.

66


Table 3.7: Schedule of budgeted income and expenses administered on behalf of Government (for the period ended 30 June)ASEA has no income and expenses administered on behalf of government. For this reason Table 3.7 is not presented. Table 3.8: Schedule of budgeted assets and liabilities administered on behalf of Government (as at 30 June)ASEA has no administered assets and liabilities. For this reason Table 3.8 is not presented. Table 3.9: Schedule of budgeted administered cash flows (for the period ended 30 June)ASEA has no administered cash flows. For this reason Table 3.9 is not presented. Table 3.10: Administered capital budget statement (for the period ended 30 June)ASEA has no administered capital purchases. For this reason Table 3.10 is not presented. Table 3.11: Statement of administered asset movements (Budget year 2016–17) ASEA has no administered non-financial assets. For this reason Table 3.11 is not presented.

67

Comcare, the Safety, Rehabilitation and

Compensation Commission, and the Seafarers Safety,

Rehabilitation and Compensation Authority


Comcare Budget Statements

COMCARE, THE SAFETY, REHABILITATION AND COMPENSATION COMMISSION, AND THE

SEAFARERS SAFETY, REHABILITATION AND COMPENSATION AUTHORITY

Section 1: Entity overview and resources...............................................................711.1 Strategic direction statement..........................................................................711.2 Entity resource statement..............................................................................731.3 Budget Measures...........................................................................................74

Section 2: Outcomes and planned performance.....................................................752.1 Budgeted expenses and performance for Outcome 1....................................76

Section 3: Budgeted financial statements...............................................................843.1 Budgeted financial statements.......................................................................843.2.1 Budgeted financial statements tables............................................................86

71


COMCARE, THE SAFETY, REHABILITATION AND COMPENSATION COMMISSION, AND THE

SEAFARERS SAFETY, REHABILITATION AND COMPENSATION AUTHORITY



Comcare supports participation and productivity nationally through healthy and safe workplaces that minimise the impact of harm.In addition to claims management and regulatory responsibilities, Comcare manages Commonwealth common law liabilities for asbestos compensation. The agency also provides secretariat and related functions to support the Safety, Rehabilitation and Compensation Commission (SRCC) and the Seafarers Safety, Rehabilitation and Compensation Authority (Seacare Authority).Comcare is ensuring that the delivery of strategic priorities are articulated through its corporate plan, and that Comcare continues to be an efficient and effective regulator, a cost effective national insurer, and an adaptable organisation, demonstrating leadership in identifying and delivering strategies to minimise harm in the workplace. Comcare’s national strategic priorities in 2016–17 include: work, health and safety leadership—developing a policy narrative

with a focus on productivity and participation, and influencing the workplace wellbeing dialogue through closer engagement with employers, employees, policy makers and researchers

driving innovation and transformation of workplace initiatives through collaboration with stakeholders

targeted regulation—maintaining a focus on harm prevention using a modern model of regulation

leading insurer—delivering robust and transparent premium setting policies and engaging with employers to achieve better outcomes in claims management

fresh approaches—generating and understanding business intelligence to guide policy and operations

successful business—ensuring Comcare’s capability supports the vision and obligations of the organisation.

Comcare will continue to: work with employers to deliver best practice in rehabilitation and

compensation claims management to achieve early and safe 73


return to work for workers covered by the Comcare scheme. This is achieved using Comcare’s Active Management Model and continuing work on the Health Benefits of Work Initiative.

deliver education, assurance and enforcement to protect the health, safety and welfare of workers covered by the scheme

provide access to compensation for people with asbestos-related diseases where the Commonwealth has a liability through the management of claims.

Comcare is committed to delivering regulation consistent with the Australian Government’s Regulator Performance Framework. Comcare’s strategic direction and priority actions are clear and in alignment to ensure the coherence, capability and adaptability of an organisation going forward.

74



Table 1.1 shows the total funding from all sources available to Comcare for its operations and to deliver programs and services on behalf of the government. The table summarises how resources will be applied by outcome (government strategic policy objectives), and by administered (on behalf of the government or the public) and departmental (for the entity’s operations) classification.For more detailed information please refer to Budget Paper No. 4—Agency Resourcing.Information in this table is presented on a resourcing (i.e. appropriations/cash available) basis, whilst the ‘Budgeted expenses by Outcome 1’ table in Section 2 and the financial statements in Section 3 are presented on an accrual basis.Table 1.1: Comcare resource statement—Budget estimates for 2016–17 as at Budget May 2016


$'000

2016–17 Estimate

$'000

Opening Balance/Cash Reserves at 1 July 677,619 797,981Funds from GovernmentAnnual appropriations - ordinary annual services (a)

Outcome 1 7,727 6,119Total departmental annual appropriations 7,727 6,119Amounts Received From Related Entities

Amounts from portfolio department (b) 63,809 63,748Total amounts received from related entities 63,809 63,748Total Funds from Government 71,536 69,867Funds from Industry Sources

Licence Fees 17,249 17,249Total Funds from Industry Sources 17,249 17,249Funds from Other Sources

Interest 25,816 29,712Sale of Goods and Services 1,267 1,773Regulatory Contributions 18,591 18,613Workers Compensation Premiums 413,505 405,400

Total Funds from Other Sources 459,179 455,498Total net resourcing for Comcare 1,225,583 1,340,595


Please note: All figures shown above are GST exclusive—these may not match figures in the cash flow statement


75


(b) Comcare is not directly appropriated as it is a corporate Commonwealth entity. Grants from its portfolio department include special appropriations under the Safety, Rehabilitation and Compensation Act 1988 for the payment of pre-premium claims costs and the Asbestos-related Claims (Management of Commonwealth Liabilities) Act 2005 for asbestos-related claims settlements.

76


1.3 BUDGET MEASURES

Part 1: Measures announced since the 2015–16 MYEFO

Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000Revenue measures Asbestos Safety Assurance Model - extension and cost recovery

1.1

Administered revenues nfp nfp nfp nfp nfpDepartmental revenues nfp nfp nfp nfp nfp

Total nfp nfp nfp nfp nfpTotal revenue measures

Administered nfp nfp nfp nfp nfpDepartmental nfp nfp nfp nfp nfp

Total nfp nfp nfp nfp nfpExpense measures Asbestos Safety Assurance Model - extension and cost recovery

1.1

Administered expenses - nfp nfp nfp nfpDepartmental expenses - nfp nfp nfp nfp

Total - nfp nfp nfp nfpSeacare scheme - cost recovery arrangements

1.1

Administered expenses - nfp nfp nfp nfpDepartmental expenses - nfp nfp nfp nfp

Total - nfp nfp nfp nfpTotal expense measures

Administered - nfp nfp nfp nfpDepartmental - nfp nfp nfp nfp

Total - nfp nfp nfp nfp


Part 2 Other measures not previously reported in a portfolio statement

Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000Measures Public Sector Superannuation Accumulation Plan administration fees(a)

1.1

Administered expenses - - - - - Departmental expenses - (61) (61) (61) (61)

Total - (61) (61) (61) (61) Administered - - - - - Departmental - (61) (61) (61) (61)

Total - (61) (61) (61) (61)



77



Government outcomes are the intended results, impacts or consequences of actions by the Government on the Australian community. Commonwealth programs are the primary vehicle by which government entities achieve the intended results of their outcome statements. Entities are required to identify the programs which contribute to government outcomes over the Budget and forward years.Comcare’s outcome is described below, together with its program components, specifying the performance indicators and targets used to assess and monitor the performance of Comcare in achieving government outcomes.


78


Outcome 1: Support participation and productivity through healthy and safe workplaces that minimise the impact of harm in workplaces covered by Comcare.

2.1 BUDGETED EXPENSES AND PERFORMANCE FOR OUTCOME 1 This table shows how much the entity intends to spend (on an accrual basis) on achieving the outcome, broken down by program, as well as by Administered and Departmental funding sources. Table 2.1: Budgeted expenses for Outcome 1

2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

Revenue from GovernmentOrdinary annual services (Appropriation Bill No. 1)

7,727 6,119 6,160 6,198 6,241

Grants received from portfolio department 63,809 63,748 60,833 61,040 60,236Revenues from industry sources 17,249 17,249 17,335 17,422 17,510Revenues from other independent sources 398,486 398,471 409,217 423,693 440,530Revenues from other independent sources (a) (10,973) (15,784) (11,179) (10,900) (10,217)Total expenses for Program 1.1 476,298 469,803 482,366 497,453 514,300

Revenue from GovernmentOrdinary annual services (Appropriation Bill No. 1)

7,727 6,119 6,160 6,198 6,241

Payment from related entities 63,809 63,748 60,833 61,040 60,236Revenues from industry sources 17,249 17,249 17,335 17,422 17,510Revenues from other independent sources 398,486 398,471 409,217 423,693 440,530Revenues from other independent sources (a) (10,973) (15,784) (11,179) (10,900) (10,217)Total expenses for Outcome 1 476,298 469,803 482,366 497,453 514,300


Program 1.1: Comcare Departmental

Outcome 1 totals by resource type

(a) Relating to non-cash movements in workers’ compensation claims liabilities and asbestos-related claims liabilities.

79


Table 2.1.2: Program component expenses2015–16


2016–17Budget

$'000


$'000


$'000


$'000

Annual departmental expenses:Annual Appropriation 2,164 739 744 748 753

Expenses not requiring appropriation in the Budget year 26,217 27,373 27,360 27,554 27,487Total component 1.1 expenses 28,381 28,112 28,104 28,302 28,240


Annual departmental expenses:Annual Appropriation 388 361 364 366 369


Annual departmental expenses:Annual Appropriation 261 207 208 210 211


Grants received from portfolio department 35,174 33,703 32,517 31,253 29,486 Expenses not requiring appropriation in the Budget year (31,877) (30,538) (28,900) (26,801) (24,387)

Total component 1.5 expenses 3,297 3,165 3,617 4,452 5,099

Annual departmental expenses:Annual Appropriation 4,914 4,812 4,844 4,874 4,908

Grants received from portfolio department 28,635 30,045 28,317 29,787 30,750Expenses not requiring appropriation in the Budget year (7,810) (14,724) (12,517) (15,170) (17,456)

Total component 1.6 expenses 25,739 20,133 20,644 19,491 18,202Total program expenses 476,298 469,803 482,366 497,453 514,300

1.6. - Asbestos Claims

1.1. - Work Health, Safety and Rehabilitation Regulation

1.2 - Comcare Workers' Compensation Scheme Management

1.3 - SRCC and Seacare Authority Support

1.4. - Premium Claims

1.5. - Pre-Premium Claims

80


Table 2.1.3: Performance criteria for Comcare Outcome 1Table 2.1.3 below details the performance criteria for each program component associated with Outcome 1. It also summarises how each program is delivered.

Outcome 1—Support participation and productivity through healthy and safe workplaces that minimise the impact of harm in workplaces covered by Comcare.

Program Component 1.1—Work Health, Safety and Rehabilitation RegulationThis program component contributes to the outcome by achieving compliance with the SRC Act and the WHS Act and regulations, in addition to leading continuous improvements in work health and safety and rehabilitation outcomes.

Delivery Comcare will undertake high quality compliance activities by creating a regulatory blue print to improve regulatory intelligence and assist in developing risk based regulation whilst providing high quality compliance activities.

Purpose Having a positive impact on reducing injury and harm in the workplace.

Performance information1


2015–16 Achievement of the Australian Work Health and Safety Strategy 2012–2020 targets and initiativesCompliance with the consistent Approval Framework for Workplace Rehabilitation Providers by workplace rehabilitation program providers approved by ComcareAchievement of Regulator Performance Framework requirements

Conduct a range of proactive and reactive inspections to ensure compliance with the WHS ActA range of campaign programs, audits, national seminars and proactive inspections have been deliveredCompliance activities/ inspections have been delivered under the regulatory model. Some instances of non-compliance have been detected and Comcare is taking action against relevant organisationsComcare has developed and implemented its Regulator Performance Framework

2016–17 As per 2015–16 Percentage number of assessed workplaces and providers demonstrating compliance at the first time of assessment and on subsequent assessmentsQualitative evaluation of the consistency of compliance activitiesPercentage number of activities that comply with Comcare’s internal and statutory requirements of investigations, inspections, authorisations and assessments of notifications


As per 2016–17 As per 2016–17


81


Program Component 1.2—Comcare Workers’ Compensation Scheme ManagementNational leader in the design, implementation and management of a scheme that improves work health and safety and rehabilitation outcomes.

Delivery Leadership of the scheme, provision of high quality advice and assistance, increase knowledge and understanding of the scheme requirements, provide quality analysis and insights that highlight emerging risks and trends. Transparent pricing of scheme management, regulatory functions and develop innovative policies and programs.

Purpose Provide a national workers’ compensation scheme that is fair, sustainable and better practice.



2015–16 Return to Work across scheme participants (i.e. the proportion of injured workers with 10 or more days off work for any period of time at some stage since they had their first day off work).

Achieved target of 90% in quarter 1 and 95% in quarter 2

Current return to work (i.e. the percentage of injured workers with 10 or more days off work, who had submitted a claim 7-9 months prior to the survey, and who are working in a paid job at the time of the survey).

Achieved target of 90% in quarter 1 and 95% in quarter 2

Employer satisfaction with scheme management.

Survey to be conducted in quarters 3 and 4 of 2015–16.

2016–17 As per 2015–16 As per 2015–16


As per 2016–17 As per 2016–17

82


Program Component 1.3—Safety, Rehabilitation and Compensation Commission and Seafarers Safety, Rehabilitation and Compensation Authority Support.Providing high quality advice and assistance to the SRCC and the Seacare Authority enabling their responsibilities to be met and deliver the government’s direction.

Delivery Provide advice to the SRCC and the Seacare Authority enabling review and improvement of the framework and content of the regulatory model.

Purpose Support the SRCC and the Seacare Authority to achieve the government’s direction and strategic initiatives.



2015–16 SRCC satisfaction of support provided by Comcare.

Satisfied

Seacare Authority satisfaction of support provided by Comcare.

Satisfied

2016–17 As per 2015–16. Percentage and number of Commissioners and Members satisfied with the quality of support provided.

Qualitative evaluation using structured interviews with Commissioners and Members.


As per 2016–17 As per 2016–17

83


Program Component 1.4—Premium Claims

Delivery Responsive, relevant and cost effective services supported by the timely management of workers’ compensation claims.

Purpose The management of all claims and liabilities for the Commonwealth and the ACT Government’s workers’ compensation scheme.


Year Performance criteria1 (a) Targets

2015–16 Funding Ratio (i.e. the percentage of premium-related total assets to premium-related liabilities).

Target 75%Achieved 81%

Commonwealth Average premium rate Target 2.04% Achieved to date

Claims continuance rate (i.e. the percentage of claims with four weeks incapacity that continued to 13 weeks or more of incapacity)

Target 57% Achieved to date

Current return to work (i.e. the percentage of injured workers with 10 or more days off work, who had submitted a claim 7-9 months prior to the survey, and who are working in a paid job at the time of the survey)

Target 90%Results available quarter four

Injured worker satisfaction with services as part of the Comcare index

Target 85%Results available in quarter 4

Timeliness of claims determination (i.e. percentage of new claims determined within 20 calendar days for injury claims and 60 days for disease claims)

Target 100% Achieved 88%

Timeliness of determined claims payment (i.e. percentage of non-incapacity items paid or rejected within seven calendar days for reimbursement to employees or trustees, and 28 calendar days for other payments)

Target 100% Achieved 65%

2016–17 Scheme is fully funded by 1 July 2020 (i.e. the percentage of premium-related assets to premium-related liabilities)

Target 85% or higher by 1 July 2017

Scheme liability is reduced by $1 billion by 1 July 2018 Target $2.3 billion or lower by 1 July 2017

Premiums are at an optimal level (ie average premiums as a percentage of payroll)

Target 1.3% or lower by 1 July 2017

Reduced administration costs Target 21% or lower by 1 July 2017


84


Program Component 1.4—Premium Claims

Early return to work of employees (ie percent and number of employees on reduced income continuance. Reported by time period: 4, 13, 26 and 52 weeks

Reduction in trends over time

Satisfaction with services (ie percentage and number of employers and employees satisfied with the quality of services provided to case managers in agencies)

Target 85% or higher

Timely processing of claims Target 100%

Accurate processing of claims (ie percentage and number of sampled payments processed in accordance with agreed standards)

Target 100%

Reasonable cost tp process claims (ie average cost per claim processed)



Scheme is fully funded by 1 July 2020 (i.e. the percentage of premium-related assets to premium-related liabilities)

Target 90% or higher by 1 July 2018

Scheme liability is reduced by $1 billion by 1 July 2018 Target $1.9 billion or lower by 1 July 2018

Premiums are at an optimal level (ie average premiums as a percentage of payroll)

Target 1.1% or lower by 1 July 2018

Reduced administration costs Target 20% or lower by 1 July 2018

Early return to work of employees (ie percent and number of employees on reduced income continuance. Reported by time period: 4, 13, 26 and 52 weeks


Satisfaction with services (ie percentage and number of employers and employees satisfied with the quality of services provided to case managers in agencies)


Timely processing of claims Target 100%

Accurate processing of claims (ie percentage and number of sampled payments processed in accordance with agreed standards)

Target 100%

Reasonable cost to process claims (ie average cost per claim processed)


Maximise recoveries from third parties and debtors (ie percentage and dollar value of asbestos claims settlements recovered from third parties)


85


Program Component 1.5—Pre-premium ClaimsProactive management of Pre-premium claims before 1 July 1989

Delivery Deliver a better practice compensation model.

Purpose The management of all claims and liabilities for the Commonwealth and the ACT Government’s workers’ compensation scheme, inclusive of the provision of an effective and sustainable pre-premium claims compensation model.



2015–16 Timeliness of determined claims payment (i.e. percentage of non-incapacity items paid or rejected within seven calendar days for reimbursement to employees or trustees, and 28 calendar days for other payments).

Target 100%Achieved 65%

2016–17 Timely processing of claims Target 100%

Timeliness of accurate processing of payments (ie percentage and number of sampled payments processed in accordance with agreed standards)

Target 100%


As per 2016–17 As per 2016–17.

Program Component. 1.6—Asbestos Claims

Delivery Proactive management of asbestos claims and recoveries from third parties

Purpose Managing the Commonwealth’s asbestos-related claims and liabilities under the Asbestos-related Claims (Management of Commonwealth Liabilities) Act 2005 (ARC Act)



2015–16 Timeliness of claims resolution (i.e. percentage of primary asbestos claims resolved within 180 calendar days).

Target 80%Achieved to date

Third party recovery rate (i.e. percentage of the value of asbestos claims settlements recovered from third parties)

Target 10%Achieved to date

2016–17 As per 2015–16 As per 2015–16


As per 2016–17 As per 2016–17


86




3.1.1 Differences between entity resourcing and financial statementsThe difference between the available resources shown in Table 1.1: Comcare resource statement and Table 3.2.1: Comprehensive Income Statement is due to prior year amounts available in 2016–17, and non-cash movements in the value of the workers compensation claims liability and notional interest receipts. The prior year amounts relate to retained premium funds, which are held to discharge future premium claims liabilities. Table 3.2: Budgeted Departmental Balance Sheet also includes significant financial assets (appropriations receivable) which will fund claim payments over the lifetime of the outstanding claims liabilities.3.1.2 Explanatory notes and analysis of budgeted financial statementsIncomeComcare’s total income in 2016–17 is budgeted at $520.7 million, compared to $529.2 million in 2015–16 (a decrease of $8.5 million, Table 3.1).Revenue from independent sources, which excludes annual appropriations and other cash and non-cash appropriations received from the portfolio department, is budgeted at $536.5 million for 2016–17 (Table 3.1).The decrease in revenue is mainly due to the expected reduction in premium revenue. The key factors contributing to a lower level of premium in 2016–17 include a notable reduction in employee numbers, and a lower additional margin in response to an improved funding ratio of the scheme.ExpensesComcare’s total expenses in 2016–17 are budgeted at $469.8 million, compared to $476.3 million in 2015–16 (a decrease of $6.5 million) mainly due to the decrease in the movement of claims liabilities.Claims expenses are budgeted to increase by $3.8 million based on projections provided by an independent actuarial assessment. The movement in outstanding claims liabilities is estimated to be $12.5

87


million less in 2016–17 than in 2015–16 ($32.3 million in 2016–17 compared to $44.8 million in 2015–16, Table 3.1). Comcare’s administration expenses are budgeted to increase in 2016–17 by $2.1 million (from $110.6 million to $112.7 million) reflecting additional project expenditure to improve the efficiency of Comcare operations.Operating ResultComcare’s operating result for 2016–17 is budgeted at a surplus of $57.0 million. This, along with budgeted surpluses over forward years will continue to contribute to restoring the premium scheme’s financial health.Claims LiabilityComcare has three separate claims liabilities: Premium workers’ compensation claims—these relate to workers’

compensation claims from premium paying agencies with a date of injury on or after 1 July 1989

Pre-premium workers’ compensation claims—these relate to workers’ compensation claims with a date of injury before 1 July 1989. It is expected that pre-premium claims liabilities will decrease over time as claims are settled.

Asbestos-related common law liabilities—these relate to asbestos related claims where the Commonwealth has a liability.

In the 2016–17 Portfolio Budget Statements, all claims liability provisions are based on independent actuarial valuations on the basis of the central estimate plus a risk margin that would achieve a 75 per cent probability of sufficiency.Program 1 components

2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

Workers' compensation liabilitiesPremium 2,941,277 2,924,666 3,002,410 3,083,092 3,170,554Pre-premium 336,514 308,490 280,579 255,041 231,763Asbestos related - common law 1,066,520 1,047,900 1,032,220 1,013,320 992,040

88




2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSESEmployee benefits 73,798 69,189 68,649 67,965 67,290Suppliers 30,097 36,824 37,007 37,180 37,368Depreciation and amortisation 6,673 6,681 7,009 8,320 8,556Claims Payments 320,954 324,769 332,861 344,497 354,908Claims - Movement in liabilities 44,776 32,340 36,840 39,491 46,178Total expenses 476,298 469,803 482,366 497,453 514,300LESS: OWN-SOURCE INCOMEOwn-source revenueSale of goods and rendering of services 1,267 1,773 1,789 1,805 1,822Licence Fees 17,249 17,249 17,335 17,422 17,510Regulatory Contributions 18,591 18,613 18,706 18,801 18,895Interest 25,816 29,712 31,427 33,888 36,181Grants Received from Portfolio Department 63,809 63,748 60,833 61,040 60,236Workers Compensation Premium 413,505 405,400 415,500 425,500 435,500Other Non-tax Revenue (a) (10,973) (15,784) (11,179) (10,900) (10,217)Total own-source revenue 529,264 520,711 534,411 547,556 559,927Net (cost of)/contribution by services (52,966) (50,908) (52,045) (50,103) (45,627)Revenue from Government 7,727 6,119 6,160 6,198 6,241

Surplus/(deficit) attributable to the Australian Government 60,693 57,027 58,205 56,301 51,868OTHER COMPREHENSIVE INCOMEChanges in asset revaluation surplus - - - - -Total other comprehensive income - - - - -Total comprehensive income/(loss) 60,693 57,027 58,205 56,301 51,868Total comprehensive income/(loss) attributable to the Australian Government 60,693 57,027 58,205 56,301 51,868

(a) This relates to non-cash movements in workers compensation claims liabilities and asbestos related claims liabilities.

Prepared on an Australian Accounting Standards Basis.

89



2015–16$'000

2016–17$'000

2017–18$'000

2018–19$'000

2019–20$'000


60,693 57,027 58,205 56,301 51,868

less depreciation/amortisation expenses previously funded through revenue appropriations (b)

- - - - -

Total comprehensive income/(loss) —as per the statement of comprehensive income

60,693 57,027 58,205 56,301 51,868

(b) From 2010–11, the Government introduced net cash appropriation arrangements where Bill 1 revenue appropriations for the depreciation/amortisation expenses of non-corporate Commonwealth entities (and select corporate Commonwealth entities) were replaced with a separate capital budget (the Departmental Capital Budget, or DCB) provided through Bill 1 equity appropriations. For information regarding DCBs, please refer to Table 3.5 Departmental Capital Budget Statement.


90



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Cash and cash equivalents 772,174 872,106 975,334 1,090,429 1,207,426Trade and other receivables 2,932,950 2,912,664 2,896,784 2,882,637 2,869,146Other f inancial assets 12,808 12,808 12,808 12,808 12,808

Total financial assets 3,717,932 3,797,578 3,884,926 3,985,874 4,089,380Non-financial assets

Property, plant and equipment 10,866 20,229 24,375 17,770 12,269Intangibles 5,248 2,504 2,749 2,334 468Other non-f inancial assets 2,007 2,007 2,007 2,007 2,007

Total non-financial assets 18,121 24,740 29,131 22,111 14,744Assets held for sale - - - - -

Total assets 3,736,053 3,822,318 3,914,057 4,007,985 4,104,124LIABILITIESPayables

Suppliers 9,641 9,641 9,641 9,641 9,641Other payables 13,931 13,931 13,931 13,931 13,931

Total payables 23,572 23,572 23,572 23,572 23,572Provisions

Employee provisions 16,402 17,802 19,197 20,580 21,947Other provisions 4,344,774 4,372,612 4,404,751 4,440,995 4,483,899

Total provisions 4,361,176 4,390,414 4,423,948 4,461,575 4,505,846Total liabilities 4,384,748 4,413,986 4,447,520 4,485,147 4,529,418Net assets (648,695) (591,668) (533,463) (477,162) (425,294) EQUITY*Parent entity interest

Contributed equity 7,717 7,717 7,717 7,717 7,717Retained surplus (accumulated deficit) (656,412) (599,385) (541,180) (484,879) (433,011)

Total parent entity interest (648,695) (591,668) (533,463) (477,162) (425,294)Total equity (648,695) (591,668) (533,463) (477,162) (425,294)

* Equity is the residual interest in assets after the deduction of liabilities.


91



Retained earnings

$'000

Asset revaluation

reserve$'000


Total equity

$'000

Opening balance as at 1 July 2016Balance carried forw ard from previous period

(656,412) - 7,717 (648,695)

Adjustment for changes in accounting policies

- - - -

Adjusted opening balance (656,412) - 7,717 (648,695)Comprehensive income

Other comprehensive income - - - -Surplus/(deficit) for the period 57,027 - - 57,027

Total comprehensive income 57,027 - - 57,027Estimated closing balance as at 30 June 2017 (599,385) - 7,717 (591,668)

Less: non-controlling interests - - - -Closing balance attributable to the Australian Government (599,385) - 7,717 (591,668)


92



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Appropriations 7,727 6,119 6,160 6,198 6,241Sale of goods and rendering of services 37,108 37,635 37,830 38,028 38,227Interest 25,815 29,712 31,427 33,888 36,181Grants Received from Portolio Agencies 63,809 63,748 60,833 61,040 60,236Other 458,765 449,653 460,784 471,781 482,951


Employees 72,449 67,789 67,254 66,582 65,923Suppliers 55,906 36,824 37,007 37,180 37,368Net GST paid 45,260 44,253 45,284 46,281 47,451Cash Used - Other 320,954 324,769 332,861 344,497 354,908

Total cash used 494,569 473,635 482,406 494,540 505,650Net cash from/(used by) operating activities 98,655 113,232 114,628 116,395 118,186INVESTING ACTIVITIESCash usedPurchase of property, plant and equipment and intangibles

4,100 13,300 11,400 1,300 1,189

Total cash used 4,100 13,300 11,400 1,300 1,189Net cash from/(used by) investing activities (4,100) (13,300) (11,400) (1,300) (1,189)

Cash and cash equivalents at the beginning of the reporting period 677,619 772,174 872,106 975,334 1,090,429

Cash and cash equivalents at the end of the reporting period 772,174 872,106 975,334 1,090,429 1,207,426


93



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

PURCHASE OF NON-FINANCIAL ASSETSFunded internally from departmental resources

4,100 13,300 11,400 1,300 1,189

TOTAL 4,100 13,300 11,400 1,300 1,189RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLETotal purchases 4,100 13,300 11,400 1,300 1,189Total cash used to acquire assets 4,100 13,300 11,400 1,300 1,189


Table 3.6: Statement of asset movements (Budget year 2016-17)


equipment$'000


intangibles$'000

Total

$'000As at 1 July 2016

Gross book value 33,770 20,271 54,041Accumulated depreciation/amortisation and impairment (22,904) (15,023) (37,927)

Opening net book balance 10,866 5,248 16,114Capital asset additions

Estimated expenditure on new or replacement assetsBy purchase - other 13,300 - 13,300Total additions 13,300 - 13,300Other movementsDepreciation/amortisation expense (3,937) (2,744) (6,681)Total other movements (3,937) (2,744) (6,681)

As at 30 June 2017Gross book value 47,070 20,271 67,341Accumulated depreciation/ amortisation and impairment (26,841) (17,767) (44,608)

Closing net book balance 20,229 2,504 22,733


94



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSES

Suppliers 155 155 155 155 155Total expenses administered on behalf of Government 155 155 155 155 155LESS:OWN-SOURCE INCOMEOwn-source revenueNon-taxation revenue

Other revenue 155 155 155 155 155Total non-taxation revenue 155 155 155 155 155Total own-source revenue administered on behalf of Government 155 155 155 155 155Total own-sourced income administered on behalf of Government 155 155 155 155 155Net cost of/(contribution by) services - - - - -Total comprehensive income/(loss) - - - - -


95



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Taxation receivables 9 9 9 9 9Trade and other receivables 1,138 1,138 1,138 1,138 1,138

Total financial assets 1,147 1,147 1,147 1,147 1,147Total assets administered on behalf of Government 1,147 1,147 1,147 1,147 1,147LIABILITIESPayables

Other payables 14 14 14 14 14Total payables 14 14 14 14 14Total liabilities administered on behalf of Government 14 14 14 14 14Net assets/(liabilities) 1,133 1,133 1,133 1,133 1,133



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Other 155 155 155 155 155Total cash received 155 155 155 155 155Cash used

Other 155 155 155 155 155Total cash used 155 155 155 155 155Net cash from/(used by) operating activities - - - - -Net increase/(decrease) in cash held - - - - -

Cash and cash equivalents at beginning of reporting period - - - - -

Cash and cash equivalents at end of reporting period - - - - -


96


Table 3.10: Administered capital budget statement (for the period ended 30 June)Comcare has no administrated capital purchases. For this reason Table 3.10 is not presented.Table 3.11: Statement of administered asset movements (Budget year 2016-17)Comcare has no administered non-financial assets. For this reason Table 3.11 is not presented.3.3 NOTES TO THE FINANCIAL STATEMENTS

Accounting policyThe budgeted financial statements have been prepared in accordance with the requirements of the Public Governance, Performance and Accountability (Financial Reporting) Rule 2015, and the Commonwealth Entities Financial Statement Preparation Guide.

Entity itemsEntity assets, liabilities, revenues and expenses are those items that are controlled by Comcare.Administered assets, liabilities, revenues and expenses relate to the Seafarers Safety, Rehabilitation and Compensation Authority (Seafarers Authority) which collects levies under the Seafarers Rehabilitation and Compensation Levy Collection Act 1992. The Seafarers Authority is controlled by the Government and managed by Comcare. Comprehensive Income StatementRevenue from governmentComcare receives an annual appropriation for the management of asbestos related claims, the administration of the Seacare Authority and some of Comcare’s regulatory activities.Own source revenueComcare receives the following own-source revenue: workers’ compensation premiums grants received from portfolio department other non-tax revenue licence fees regulatory contributions interest

97


sale of goods and rendering of services.Workers’ compensation premiumsThe premium scheme covers employees of Commonwealth Government agencies and the ACT Government covered by the SRC Act for injuries and illnesses sustained on or after 1 July 1989. Premiums are determined to fully fund the expected scheme liabilities as advised by independent actuaries.Premiums do not cover liabilities for injuries or illness sustained prior to 1 July 1989. These liabilities are funded by Parliamentary appropriation and are referred to as ‘pre-premium’ liabilities.Grants received from portfolio departmentGrants received from the portfolio department’ represent cash appropriation for the payment of pre-premium claims and administration costs, and asbestos claims costs.Other non-tax revenue‘Other non-tax revenue’ is a non-cash appropriation representing: the notional interest on retained premium funds held with the

Australian Government; and the movement in claims liabilities payable in future years based on

independent actuarial assessment.Administration expensesComcare administration expenses include: employee expenses—includes salaries, superannuation and the

net increase in employee entitlements; suppliers—includes goods and services procured from suppliers; depreciation and amortisation—property, plant and equipment and

intangible assets are depreciated over their useful lives. Leasehold improvements are amortised over the lesser of the estimated useful life of the improvement or the unexpired period of the lease. In all cases, assets are depreciated using the straight line method.

Claims expensesComcare recognises two types of claims expenses: Claims payments—includes workers’ compensation claims

payments (premium and pre-premium) and common law settlements for asbestos-related compensation cases.

98


Movement in liabilities—net movements in outstanding workers’ compensation claims liabilities are recognised as expenses.

Departmental Balance Sheet

Cash and cash equivalentsCash and cash equivalents include deposits at call and term deposits with a bank or financial institution.Trade and other receivablesOther receivables are the combined value of: pre-premium and asbestos special appropriation receivable premiums collected by Comcare prior to 1 July 2002 held by the

Australian Government plus earned notional interest, in accordance with Section 90C of the SRC Act.

Employee provisionsThe provision for employee entitlements encompasses unpaid annual and long service leave. No provision is made for sick leave. Other provisionsProvision is made for: outstanding workers’ compensation claims liabilities asbestos-related common law liabilities.These estimates have been prepared by independent actuaries. They are based on analysis of the historical development of the relevant claims experience, with allowances for future claim escalation and administration expenses, and are discounted to a present value to allow for the time value of money. The estimates of outstanding liabilities have been based on independent actuarial valuations on the basis of the central estimate plus the risk margin that would achieve a 75 per cent probability of sufficiency.

99

Fair Work Commission


FWC Budget Statements

FAIR WORK COMMISSION

Section 1: Entity overview and resources.............................................................1011.1 Strategic direction statement........................................................................1011.2 Entity resource statement............................................................................1021.3 Budget measures.........................................................................................104

Section 2: Outcomes and planned performance...................................................1052.1 Budgeted expenses and performance for Outcome 1..................................105

Section 3: Budgeted financial statements.............................................................1093.1 Budgeted financial statements.....................................................................1093.2.1 Budgeted financial statements tables..........................................................110

101


FAIR WORK COMMISSION



The Fair Work Commission was established by the Fair Work Act 2009 (FW Act). The Commission is the independent national workplace relations tribunal responsible for administering provisions of the FW Act. The Commission also has responsibilities in relation to the registration, recognition and accountability of unions and employer organisations under the Fair Work (Registered Organisations) Act 2009.The Fair Work Commission consists of a President, Vice Presidents, Deputy Presidents, Commissioners and Expert Panel Members. The Fair Work Commission also has a General Manager and administrative staff.The Fair Work Commission has the power to make and vary awards, make minimum wage orders, approve agreements, resolve workplace and other disputes, determine unfair dismissal claims, deal with applications for orders to stop or prevent workplace bullying and make orders in relation to matters such as good faith bargaining and industrial action. The Fair Work Commission is implementing initiatives aimed at further improving fairness and access to justice; accountability; innovation and efficiency; and productivity and engagement with industry. These initiatives are set out in the publication Future Directions II, which is available on the Commission’s website (www.fwc.gov.au).

103



Table 1.1 shows the total funding from all sources available to the entity for its operations and to deliver programs and services on behalf of the government. The table summarises how resources will be applied by outcome (government strategic policy objectives) and by administered (on behalf of the government or the public) and departmental (for the entity’s operations) classification.For more detailed information please refer to Budget Paper No. 4—Agency Resourcing.Information in this table is presented on a resourcing (i.e. appropriations/cash available) basis, whilst the ‘Budgeted expenses by Outcome 1’ tables in Section 2 and the financial statements in Section 3 are presented on an accrual basis.

104


Table 1.1: Fair Work Commission resource statement—Budget estimates for 2016–17 as at Budget May 2016

2015–16 Estimated

actual $'000

2016–17 Estimate


Prior year appropriations available (b) 39,708 30,789Departmental appropriation 79,550 76,070s 74 retained revenue receipts (c) 2,429 2,429Departmental capital budget (d) 2,418 2,409

Annual appropriations - other services - non-operating (e)Equity injection - 150

Total departmental annual appropriations 124,105 111,847Total departmental resourcing 124,105 111,847Total administered special appropriations (f) 500 500Total administered resourcing 500 500Total resourcing for Fair Work Commission 124,605 112,347



Please note: All figures shown above are GST exclusive – these may not match figures in the cash flow statement.


(b) Estimated adjusted balance carried forward from previous year.(c) Estimated Retained revenue receipts under section 74 of the Public Governance, Performance and

Accountability Act 2013.(d) Departmental capital budgets are not separately identified in Appropriation Bill (No.1) and form part of


(e) Appropriation Bill (No.2) 2016–17.(f) Repayments not provided for under other appropriations. Amounts received on or before 30 June 2015

were repaid under section 28 of the Financial Management and Accountability Act 1997.

105


1.3 BUDGET MEASURES

Budget measures in Part 1 relating to the Fair Work Commission are detailed in Budget Paper No. 2 and are summarised below. Table 1.2: Entity 2016–17 Budget measuresPart 1: Measures announced since the 2015–16 Mid-Year Economic and Fiscal Outlook (MYEFO)

Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000Expense measures Road Safety Remuneration Tribunal - abolition

1.1

Administered expenses - - - - - Departmental expenses - (2,445) (2,467) (2,488) (2,510)


Administered - - - - - Departmental - (2,445) (2,467) (2,488) (2,510)

Total - (2,445) (2,467) (2,488) (2,510)



Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000Measures Public Sector Savings - Enterprise Resource Planning Systems (a)

1.1

Administered expenses - - - - - Departmental expenses - - (57) (70) (70)

Total - - (57) (70) (70) Total measures

Administered - - - - - Departmental - - (57) (70) (70)

Total - - (57) (70) (70)

(a) This measure was first published in the 2015–16 Budget.


106





2.1 BUDGETED EXPENSES AND PERFORMANCE FOR OUTCOME 1 Outcome 1: Simple, fair and flexible workplace relations for employees and employers through the exercise of powers to set and vary minimum wages and modern awards, facilitate collective bargaining, approve agreements and deal with disputes.

Budgeted expenses for Outcome 1This table shows how much the entity intends to spend (on an accrual basis) on achieving the outcome, broken down by program, as well as by Administered and Departmental funding sources.

107


Table 2.1.1: Budgeted expenses for Outcome 12015–16


2016–17Budget

$'000


$'000


$'000


$'000

Departmental expensesDepartmental appropriation 79,550 76,070 77,154 78,602 81,132s 74 Retained revenue receipts (b) 2,429 2,429 2,100 1,800 1,800Expenses not requiring appropriation in the Budget year (c)

4,583 2,927 2,927 2,927 2,891


Departmental expensesDepartmental appropriation 79,550 76,070 77,154 78,602 81,132s 74 Retained revenue receipts (b) 2,429 2,429 2,100 1,800 1,800Expenses not requiring appropriation in the Budget year (c)

4,583 2,927 2,927 2,927 2,891



Program 1.1: Dispute resolution, minimum wage setting, orders and approvals of agreeements


(a) Repayments not provided for under other appropriations. Amounts received on or before 30 June 2015 were repaid under section 28 of the Financial Management and Accountability Act 1997.

(b) Estimated expenses incurred in relation to receipts retained under section 74 of the Public Governance, Performance and Accountability Act 2013.

(c) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, and audit fees.


108



Outcome 1—Simple, fair and flexible workplace relations for employees and employers through the exercise of powers to set and vary minimum wages and modern awards, facilitate collective bargaining, approve agreements and deal with disputes.

Program 1.1—Dispute resolution, minimum wage setting, orders and approval of agreements.The Fair Work Commission exercises powers under the Fair Work Act 2009 in accordance with the objects of the Act and in a manner that is fair and just; is quick, informal and avoids unnecessary technicalities.

Purpose The Fair Work Commission is Australia’s national workplace relations tribunal. The overarching purpose of the Fair Work Commission is to exercise powers and functions under legislation. The Commission is an independent body:• providing a safety net of minimum conditions, including minimum wages, in

awards• facilitating good faith bargaining and the making of enterprise agreements• granting remedies for unfair dismissal• regulating the taking of industrial action• resolving a range of collective and individual workplace disputes through

conciliation, mediation and in some cases arbitration• functioning in connection with workplace determinations, equal remuneration,

transfer of business, general workplace protections, right of entry and stand down.

Delivery The Fair Work Commission’s deliverables are:• promoting cooperative and productive workplace relations• resolving unfair dismissal claims• making stop orders to stop or prevent bullying at work• dealing with general protections claims• setting the national minimum wage• creating, reviewing and varying modern awards• approving enterprise agreements• assisting the bargaining process for enterprise agreements• assisting with the prevention and resolution of industrial disputes• determining applications for right of entry permits• regulation of federally registered organisations of employers and employees.

109


Objective 1—The Fair Work Commission is accountable and transparent


Year Performance criteria (a) Targets

2015–16 Improve or maintain the time elapsed from lodging applications to finalising conciliations in unfair dismissal applications

34 daysAssessment: This performance target is expected to be achieved in 2015–16

Annual wage review to be completed to enable an operative date of 1 July

By 30 JuneAssessment: This performance target is expected to be achieved in 2015–16

Improve or maintain the agreement approval time

32 daysAssessment: This performance target is expected to be achieved in 2015–16

2016–17 As per 2015–16 As per 2015–16


As per 2015–16 As per 2015–16

Objective 2—The General Manager’s powers and functions are exercised in accordance with the Fair Work (Registered Organisations) Act 2009



2015–16 95 per cent of financial reports required to be lodged under the Fair Work (Registered Organisations) Act 2009 are assessed for compliance within 40 days

95% within 40 daysAssessment: This performance target is on track for 2015–16

2016–17 As per 2015–16 As per 2015–16


As per 2015–16 As per 2015–16

Material changes to Program 1.1 resulting from the following measures:Material changes will result from the Road Safety Remuneration Tribunal—abolition measure.

110




3.1.1 Differences between entity resourcing and financial statementsThe Fair Work Commission has nil differences to report.3.1.2 Explanatory notes and analysis of budgeted financial statementsDepartmental financial statementsThe Fair Work Commission is budgeting for an operating deficit equal to the unappropriated depreciation and amortisation expense in 2016–17. Total revenues are estimated to be $78.5 million and total expenses $81.4 million.Total assets at the end of the 2016–17 financial year are estimated to be $69.4 million. The majority of the assets represent receivables (appropriations receivable) and office fit outs. The Fair Work Commission is planning asset acquisition in the 2016–17 year primarily relating to information technology equipment, software and minor office accommodation costs.Total liabilities for 2016–17 are estimated at $28.9 million. The largest liability item are accrued employee entitlements.Administered financial statementsAdministered revenues in 2016–17 for the refund of application fees are estimated to be $0.5 million, consistent with the 2015–16 estimated actual.

111




2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSESEmployee benefits 53,037 49,649 51,182 52,082 53,784Suppliers 29,039 28,948 28,170 28,418 29,210Depreciation and amortisation 4,486 2,829 2,829 2,829 2,829Total expenses 86,562 81,426 82,181 83,329 85,823LESS: OWN-SOURCE INCOMEOwn-source revenueSale of goods and rendering of services 2,429 2,429 2,100 1,800 1,800Total own-source revenue 2,429 2,429 2,100 1,800 1,800GainsOther 97 98 98 98 62Total gains 97 98 98 98 62Total own-source income 2,526 2,527 2,198 1,898 1,862

Net cost of/(contribution by) services 84,036 78,899 79,983 81,431 83,961Revenue from Government 79,550 76,070 77,154 78,602 81,132

Surplus/(deficit) attributable to the Australian Government (4,486) (2,829) (2,829) (2,829) (2,829)OTHER COMPREHENSIVE INCOMEChanges in asset revaluation surplus - - - - -Total other comprehensive income - - - - -Total comprehensive income/(loss) (4,486) (2,829) (2,829) (2,829) (2,829)Total comprehensive income/(loss) attributable to the Australian Government (4,486) (2,829) (2,829) (2,829) (2,829)

112



2015–16$'000

2016–17$'000

2017–18$'000

2018–19$'000

2019–20$'000


(4,486) (2,829) (2,829) (2,829) (2,829)


- - - - -


(4,486) (2,829) (2,829) (2,829) (2,829)



113



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000





Land and buildings 17,141 16,177 15,708 15,332 15,097Property, plant and equipment 4,673 3,673 2,850 1,856 292Intangibles 1,262 3,956 4,850 5,844 7,288Other non-financial assets 4,891 4,891 4,891 4,891 4,891



Suppliers 951 951 951 951 951Other payables 7,448 7,448 7,448 7,448 7,448


Employee provisions 20,448 20,448 20,448 20,448 20,448Other provisions 93 93 93 93 93


Contributed equity 46,205 48,764 51,195 53,648 56,122Reserves 262 262 262 262 262Retained surplus (accumulated deficit) (5,696) (8,525) (11,354) (14,183) (17,012)




114



Retained earnings

$'000

Asset revaluation

reserve$'000


Total equity


Balance carried forw ard from previous period (5,696) 262 46,205 40,771

Adjusted opening balance (5,696) 262 46,205 40,771Comprehensive income

Surplus/(deficit) for the period (2,829) - - (2,829)Total comprehensive income (2,829) - - (2,829)

of w hich:Attributable to the Australian Government (2,829) - - (2,829)

Transactions w ith ownersContributions by owners

Equity injection - - 150 150Departmental Capital Budget (DCB) - - 2,409 2,409

Sub-total transactions with owners - - 2,559 2,559Transfers betw een equity components - - - -

Estimated closing balance as at 30 June 2017 (8,525) 262 48,764 40,501


115



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Appropriations 78,550 77,070 77,154 78,602 81,132Other 2,429 2,429 2,100 1,800 1,800


Employees 53,037 49,649 51,182 52,082 53,784Suppliers 28,942 28,850 28,072 28,320 29,148

Total cash used 81,979 78,499 79,254 80,402 82,932Net cash from/(used by) operating (1,000) 1,000 - - -INVESTING ACTIVITIESCash received


Purchase of property, plant and equipment

1,418 3,559 2,431 2,453 2,474

Total cash used 1,418 3,559 2,431 2,453 2,474Net cash from/(used by) investing (1,418) (3,559) (2,431) (2,453) (2,474)FINANCING ACTIVITIESCash received


Other - - - - -Total cash used - - - - -Net cash from/(used by) financing activities 2,418 2,559 2,431 2,453 2,474Net increase/(decrease) in cash held - - - - -




116



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Capital budget - Bill 1 (DCB) 2,418 2,409 2,431 2,453 2,474Equity injections - Bill 2 - 150 - - -


Purchase of non-financial assets 2,418 2,559 2,431 2,453 2,474Total Items 2,418 2,559 2,431 2,453 2,474

PURCHASE OF NON-FINANCIAL ASSETSFunded by capital appropriations (a) - 150 - - -

Funded by capital appropriation - DCB (b) 1,418 3,409 2,431 2,453 2,474





117



Buildings

$'000

Other property, plant and equipment

$'000


intangibles$'000

Total

$'000As at 1 July 2016


(1,876) (2,331) (2,573) (6,780)

Opening net book balance 17,141 4,673 1,262 23,076

Capital asset additionsEstimated expenditure on new or replacement assets

By purchase - appropriation equity (a) 269 1,290 2,000 3,559

Total additions 269 1,290 2,000 3,559

Other movementsDepreciation/amortisation expense (1,233) (2,290) 694 (2,829)

Total other movements (1,233) (2,290) 694 (2,829)


(3,109) (4,621) (1,879) (9,609)




118

FWC Budget Statem

ents



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSES

Other expenses - - - - -Total expenses administered on behalf of Government - - - - -LESS:OWN-SOURCE INCOMEOwn-source revenueNon-taxation revenue

Other revenue 578 578 578 578 578Total non-taxation revenue 578 578 578 578 578Total own-source revenue administered on behalf of Government 578 578 578 578 578Total own-sourced income administered on behalf of Government 578 578 578 578 578Net cost of/(contribution by) services (578) (578) (578) (578) (578)Surplus/(deficit) before income tax 578 578 578 578 578

Income tax expense - - - - -Surplus/(Deficit) after income tax 578 578 578 578 578OTHER COMPREHENSIVE INCOMETotal other comprehensive income - - - - -Total comprehensive income/(loss) 578 578 578 578 578


Table 3.8: Schedule of budgeted assets and liabilities administered on behalf of Government (as at 30 June)The Fair Work Commission has no administered assets and liabilities. For this reason Table 3.8 is not presented.

119



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000




Other - - - - -Total cash used - - - - -Net cash from/(used by) operating activities 578 578 578 578 578INVESTING ACTIVITIESCash received


Other - - - - -Total cash used - - - - -Net cash from/(used by) investing activities - - - - -FINANCING ACTIVITIESCash received


Other - - - - -Total cash used - - - - -Net cash from/(used by) financing activities - - - - -Net increase/(decrease) in cash held 578 578 578 578 578

Cash to Official Public Account for:- Other (578) (578) (578) (578) (578)

Cash and cash equivalents at end of reporting period - - - - -


Table 3.10: Administered capital budget statement (period ended 30 June)The Fair Work Commission has no administered capital budget. For this reason Table 3.10 is not presented.Table 3.11: Statement of administered asset movements (Budget year 2016–17) The Fair Work Commission has no administered assets and liabilities. For this reason Table 3.11 is not presented.

120

Fair Work Ombudsman


FWO Budget Statements

FAIR WORK OMBUDSMAN




123


FAIR WORK OMBUDSMAN



The Fair Work Ombudsman is an independent statutory office created by the Fair Work Act 2009 on 1 July 2009. The Fair Work Ombudsman promotes harmonious, productive and cooperative workplace relations and ensures compliance with Commonwealth workplace laws by: offering people a single point of contact for them to receive

accurate and timely advice and information about Australia’s workplace relations system

educating people working in Australia about their workplace rights and obligations

investigating complaints or suspected contraventions of workplace laws, awards and agreements

litigating to enforce workplace laws and to deter people from not complying with their workplace responsibilities.

The strategic focus of the Fair Work Ombudsman in 2016–17 is to ensure that there is increased compliance with Commonwealth workplace laws through educating and advising employees, employers, outworkers, outworker entities and organisations about the federal workplace relations system.

125



Table 1.1 shows the total funding from all sources available to the entity for its operations and to deliver programs and services on behalf of the government. The table summarises how resources will be applied by outcome (government strategic policy objectives) and by administered (on behalf of the government or the public) and departmental (for the entity’s operations) classification.For more detailed information please refer to Budget Paper No. 4—Agency Resourcing.Information in this table is presented on a resourcing (i.e. appropriations/cash available) basis, whilst the ‘Budgeted expenses by Outcome 1’ tables in Section 2 and the financial statements in Section 3 are presented on an accrual basis.

126


Table 1.1: Fair Work Ombudsman resource statement—Budget estimates for 2016–17 as at Budget May 2016

2015–16 Estimated

actual $'000

2016–17 Estimate


Prior year appropriations available (b) 65,610 57,767Departmental appropriation 107,995 103,987s 74 retained revenue receipts (c) 3,400 1,550Departmental capital budget (d) 9,811 6,849


Total departmental annual appropriations 186,816 170,303Total departmental special appropriations (f) 225 250Total departmental resourcing 187,041 170,553Total resourcing for Fair Work Ombudsman 187,041 170,553





(b) Excludes $0.075m subject to quarantine by Finance or withheld under section 51 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act)

(c) Estimated retained revenue receipts under section 74 of the PGPA Act.(d) Departmental capital budgets are not separately identified in Appropriation Bill (No.1) and form part of


(e) Appropriation Bill (No.2) 2016–17.(f) Excludes 'Special Public Money' held in accounts like Other Trust Monies accounts (OTM), Services for

Other Government and Non-agency Bodies accounts (SOG) or Services for Other Entities and Trust Moneys accounts (SOETM). For further information on special appropriations and special accounts, please refer to Budget Paper No. 4—Agency Resourcing. Please also see Table 2.1 for further information on outcome and program expenses broken down by various funding sources, e.g. annual appropriations, special appropriations and special accounts.

127


1.3 BUDGET MEASURES

Budget measures in Part 1 relating to the Fair Work Ombudsman are detailed in Budget Paper No. 2 and are summarised below. Table 1.2: Entity 2016–17 Budget measuresPart 1: Measures announced since the 2015–16 Mid-Year Economic and Fiscal Outlook (MYEFO)

Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000Expense measures Community Engagement Grants Program - establishment

1.1

Departmental expenses - - - - -

Total - - - - - Road Safety Remuneration Tribunal - abolition

1.1

Departmental expenses - (1,407) (1,416) (1,425) (1,434)


Departmental - (1,407) (1,416) (1,425) (1,434)

Total - (1,407) (1,416) (1,425) (1,434)



Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20


1.1

Departmental expenses - - (82) (101) -

Total - - (82) (101) - Public Sector Savings - Shared and Common Services Programme (b)

1.1

Departmental expenses - (26) (52) (52) -

Total - (26) (52) (52) - Public Sector Superannuation Accumulation Plan administrationfees (c)

1.1

Departmental expenses (91) (91) (91) (91) (91)

Total (91) (91) (91) (91) (91) Total measures

Departmental (91) (117) (225) (244) (91)

Total (91) (117) (225) (244) (91)


(b) This measure was first published in the 2015–16 Mid-Year Economic and Fiscal Outlook.

128


(c) This measure was first published in the 2014–15 Mid-Year Economic and Fiscal Outlook.Prepared on a Government Finance Statistics (fiscal) basis. Figures displayed as a negative (-) represent a decrease in funds and a positive (+) represent an increase in funds.

129





130


2.1 BUDGETED EXPENSES AND PERFORMANCE FOR OUTCOME 1 Outcome 1: Compliance with workplace relations legislation by employees and employers through advice, education and where necessary enforcement.


2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

Departmental expensesDepartmental appropriation (a) 107,995 103,987 104,283 104,896 105,420s 74 Retained revenue receipts (a) 3,400 1,550 1,190 1,000 580Expenses not requiring appropriation in the Budget year (b)

10,701 7,102 8,069 7,982 9,150


Departmental expensesDepartmental appropriation 107,995 103,987 104,283 104,896 105,420s 74 Retained revenue receipts (a) 3,400 1,550 1,190 1,000 580Expenses not requiring appropriation in the Budget year (b)

10,701 7,102 8,069 7,982 9,150



Program 1.1: Education Services and Compliance Activities


(a) Estimated expenses incurred in relation to receipts retained under section 74 of the Public Governance, Performance and Accountability Act 2013.



131



Outcome 1—Compliance with workplace relations legislation by employees and employers through advice, education and where necessary enforcement.

Program 1.1—Education Services and Compliance Activities—to educate employers, employees, organisations and contractors about the workplace relations system and to ensure compliance with workplace laws.

Purpose The FWO is the Australian Government agency responsible for ensuring compliance with workplace relations laws through advice, education and where necessary enforcement.

Delivery provide information, advice and education on the requirements and flexibilities of workplace laws to foster voluntary complianceinvestigate claims regarding alleged breaches of workplace laws and undertake targeted activitieslitigate, where necessary, to enforce compliance with workplace laws



2015–16 Compliance with workplace relations legislation by employees and employers through advice, education and where necessary enforcement.

• Number of targeted campaigns– National (4)– State (2 per state)

Target expected to be met.• Investigations into complaints about breaches of

federal agreements or awards completed within 90 days (percentage of total complaints) (80)

Target expected to be met.• Calls to the Contact Centre resolved at the first

point of contact (percentage of total calls) (80)Target expected to be met.• Availability of Contact Centre services (percentage

of availability during advertised hours) (99)Target expected to be met.• Availability of Website (time available as a

percentage of total time) (99)Target expected to be met.

132




2016–17 The FWO takes a risk based and proportionate approach to its compliance and enforcement activities.

At least 90% of requests for assistance involving a workplace dispute are finalised through education and dispute resolution services.No more than 10% of requests for assistance involving a workplace dispute are finalised through compliance and enforcement tools.

The FWO provides information and advice that is accessible, timely and reliable.

99% availability for website services and of advertised contact centre hours.Requests for assistance involving a workplace dispute are finalised in an average of 30 days.


As per 2016–17 As per 2016–17


133




3.1.1 Differences between entity resourcing and financial statementsThe Agency Resource Statement (Table 1.1) details the total appropriation available to an agency from all sources. For departmental operating appropriations (outputs) this includes carry-forward amounts as well as amounts appropriated at Budget. As agencies incur and are funded for future liabilities and employee entitlements, the total amount of departmental operating appropriation available to an agency is unlikely to be fully utilised in the Budget year. The difference between the agency resource statement and the sum of all payments made at the departmental outputs level is the expected carry-forward amount of resources for the 2016–17 Budget year, including amounts related to meeting future employee entitlement obligations.3.1.2 Explanatory notes and analysis of budgeted financial statementsThe Fair Work Ombudsman is budgeting for an operating loss equal to the unappropriated depreciation and amortisation expense of $7.0 million for the 2016–17 financial year.Total revenues are estimated to be $105.5 million and total expenses $112.6 million.Total assets at the end of the 2016–17 financial year are estimated to be $90.7 million. The majority of the assets represent receivables (appropriations receivable) and property fit outs. Asset acquisitions are planned in Information Technology equipment and systems and on office accommodation fit outs.Total liabilities for 2016–17 are estimated at $38.9 million. The largest liability item is accrued employee entitlements.

134




2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSESEmployee benefits 74,613 73,001 73,543 73,099 73,506Suppliers 36,882 32,636 32,030 32,897 32,594Depreciation and amortisation 10,601 7,002 7,969 7,882 9,050Total expenses 122,096 112,639 113,542 113,878 115,150LESS: OWN-SOURCE INCOMEOwn-source revenueSale of goods and rendering of services 2,900 1,050 690 500 80Other 500 500 500 500 500Total own-source revenue 3,400 1,550 1,190 1,000 580GainsOther 100 100 100 100 100Total gains 100 100 100 100 100Total own-source income 3,500 1,650 1,290 1,100 680Net (cost of)/contribution by services (118,596) (110,989) (112,252) (112,778) (114,470)Revenue from Government 107,995 103,987 104,283 104,896 105,420Surplus/(deficit) attributable to the Australian Government (10,601) (7,002) (7,969) (7,882) (9,050)OTHER COMPREHENSIVE INCOMEChanges in asset revaluation surplus - - - - -Total other comprehensive income - - - - -Total comprehensive income/(loss) (10,601) (7,002) (7,969) (7,882) (9,050)Total comprehensive income/(loss) attributable to the Australian Government (10,601) (7,002) (7,969) (7,882) (9,050)

135



2015–16$'000

2016–17$'000

2017–18$'000

2018–19$'000

2019–20$'000


- - - - -


10,601 7,002 7,969 7,882 9,050


(10,601) (7,002) (7,969) (7,882) (9,050)



136



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Cash and cash equivalents 2,973 2,973 2,973 2,973 2,973Trade and other receivables 59,041 59,256 59,331 58,910 58,910


Land and buildings 12,866 14,166 13,383 14,357 13,306Property, plant and equipment 1,986 3,101 2,356 1,825 2,863Intangibles 12,314 9,405 7,875 6,380 3,796Other non-financial assets 1,785 1,785 1,785 1,785 1,785



Suppliers 9,440 10,439 9,914 9,914 9,914Total payables 9,440 10,439 9,914 9,914 9,914 Provisions

Employee provisions 21,097 20,822 20,947 20,947 20,947Other provisions 8,719 7,719 7,719 7,719 7,719


Contributed equity 91,385 98,384 103,770 110,179 116,632Reserves 5,776 5,776 5,776 5,776 5,776Retained surplus (accumulated deficit) (45,452) (52,454) (60,423) (68,305) (77,355)




137



Retained earnings

$'000

Asset revaluation

reserve$'000


Total equity

$'000

Opening balance as at 1 July 2016Balance carried forw ard from previous period

(45,452) 5,776 91,385 51,709

Adjusted opening balance (45,452) 5,776 91,385 51,709Comprehensive income

Surplus/(deficit) for the period (7,002) - - (7,002)Total comprehensive income (7,002) - - (7,002)Transactions with owners

Contributions by ownersEquity injection - Appropriation - - 150 150Departmental capital budget (DCB) - - 6,849 6,849

Sub-total transactions with owners - - 6,999 6,999Estimated closing balance as at 30 June 2017 (52,454) 5,776 98,384 51,706


138



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Appropriations 112,940 103,772 104,208 105,317 105,420Sale of goods and rendering of services 2,900 1,050 690 500 80Other 500 500 500 500 500


Employees 74,963 73,276 73,418 73,099 73,506Suppliers 37,868 31,537 32,455 32,797 32,494Other 2,000 1,000 - - -

Total cash used 114,831 105,813 105,873 105,896 106,000Net cash from/(used by) operating activities 1,509 (491) (475) 421 -INVESTING ACTIVITIESCash received



11,320 6,508 4,911 6,830 6,453

Total cash used 11,320 6,508 4,911 6,830 6,453Net cash from/(used by) investing activities (11,320) (6,508) (4,911) (6,830) (6,453)FINANCING ACTIVITIESCash received


Other - - - - -Total cash used - - - - -Net cash from/(used by) financing activities 9,811 6,999 5,386 6,409 6,453Net increase/(decrease) in cash held - - - - -

Cash and cash equivalents at the beginning of the reporting period 2,973 2,973 2,973 2,973 2,973

Cash and cash equivalents at the end of the reporting period 2,973 2,973 2,973 2,973 2,973


139



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Capital budget - Bill 1 (DCB) 9,811 6,849 5,386 6,409 6,453Equity injections - Bill 2 - 150 - - -


Purchase of non-financial assets 9,811 6,999 5,386 6,409 6,453Total items 9,811 6,999 5,386 6,409 6,453


Funded by capital appropriation - DCB (b) 6,320 4,358 4,911 5,830 6,453Funded internally from departmental resources (c)

5,000 2,000 - 1,000 -




(c) Includes the following sources of funding:- current Bill 1 and prior year Act 1/3/5 appropriations (excluding amounts from the DCB);- internally developed assets;- s 74 Retained revenue receipts; and- proceeds from the sale of assets.


140



Buildings

$'000


equipment$'000


intangibles$'000

Total

$'000As at 1 July 2016


(11,150) (1,998) (17,095) (30,243)

Opening net book balance 12,866 1,986 12,314 27,166Capital asset additions

Estimated expenditure on new or replacement assetsBy purchase - appropriation equity (a) 3,828 1,987 693 6,508Total additions 3,828 1,987 693 6,508Other movementsDepreciation/amortisation expense (2,528) (872) (3,602) (7,002)Total other movements (2,528) (872) (3,602) (7,002)


(13,678) (2,870) (20,697) (37,245)




141

FWO

Budget Statements



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSES

Other expenses - - - - -Total expenses administered on behalf of Government - - - - -LESS:OWN-SOURCE INCOMENon-taxation revenue

Other revenue 300 300 300 300 300Total non-taxation revenue 300 300 300 300 300Total own-source revenue administered on behalf of Government 300 300 300 300 300Total own-sourced income administered on behalf of Government 300 300 300 300 300Total comprehensive income/(loss) (300) (300) (300) (300) (300)



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Trade and other receivables 1,698 1,698 1,698 1,698 1,698Other f inancial assets 251 251 251 251 251

Total financial assets 1,949 1,949 1,949 1,949 1,949Total assets administered on behalf of Government 1,949 1,949 1,949 1,949 1,949LIABILITIESPayables

Other payables - - - - -Total payables - - - - -Total liabilities administered on behalf of Government - - - - -Net assets/(liabilities) 1,949 1,949 1,949 1,949 1,949


142



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000




Other - - - - -Total cash used - - - - -Net cash from/(used by) operating activities 525 550 575 550 550Net increase/(decrease) in cash held 525 550 575 550 550

Cash and cash equivalents at beginning of reporting period

Cash from Official Public Account for:- Appropriations - - - - -

Total cash from Official Public Account - - - - -Cash to Official Public Account for:

- Appropriations -- Transfers to other entities (Finance - Whole of Government) (525) (550) (575) (550) (550)

Total cash to Official Public Account (525) (550) (575) (550) (550)Cash and cash equivalents at end of reporting period - - - - -


Table 3.10: Administered capital budget statement (for the period ended 30 June)The Fair Work Ombudsman has no administered capital budget. For this reason Table 3.10 is not presented.Table 3.11: Statement of administered asset movements (Budget year 2016–17) The Fair Work Ombudsman has no administered non-financial assets. For this reason Table 3.11 is not presented.

143

Office of the Fair Work Building Industry Inspectorate


FWBII Budget Statements

OFFICE OF THE FAIR WORK BUILDING INDUSTRY INSPECTORATE




147


OFFICE OF THE FAIR WORK BUILDING INDUSTRY INSPECTORATE



The Office of the Fair Work Building Industry Inspectorate (FWBII) was established by the Fair Work (Building Industry) Act 2012 on 1 June 2012. FWBII commenced operations on 1 June 2012. It operates under the name ‘Fair Work Building and Construction’.In respect of the building and construction industry, FWBII is primarily responsible for: the provision of education, assistance and advice to industry

participants regarding their rights and obligations inquiring into and investigating alleged breaches of relevant

workplace laws commencing civil penalty litigation, or making submissions to the

Fair Work Commission, to enforce compliance by industry participants

referring matters to relevant authorities where appropriate in relation to:- Fair Work (Building Industry) Act 2012- Fair Work Act 2009, the Fair Work (Transitional Provisions and

Consequential Amendments) Act 2009 and the Independent Contractors Act 2006

- safety net entitlements- awards, agreements and court and tribunal orders- the Building Code- Competition and Consumer Act 2010- allegations of criminal conduct.

During 2016–17, FWBII plans to achieve the following outcomes: enforce workplace relations laws in the building and construction

industry and ensure compliance with those laws by all participants in the building and construction industry through the provision of education, assistance and advice; and where necessary, civil penalty litigation in the courts

ensure compliance with building codes of practice through the provision of education, assistance and advice.

149



Table 1.1 shows the total funding from all sources available to the entity for its operations and to deliver programs and services on behalf of the government. The table summarises how resources will be applied by outcome (government strategic policy objectives) and by administered (on behalf of the government or the public) and departmental (for the entity’s operations) classification.For more detailed information please refer to Budget Paper No. 4—Agency Resourcing.Information in this table is presented on a resourcing (i.e. appropriations/cash available) basis, whilst the ‘Budgeted expenses by Outcome 1’ tables in Section 2 and the financial statements in Section 3 are presented on an accrual basis. Table 1.1: Office of the Fair Work Building Industry Inspectorate resource statement—Budget estimates for 2016–17 as at Budget May 2016


$'000

2016–17 Estimate

$'000

DepartmentalAnnual appropriations - ordinary annual services (a)

Prior year appropriations available (b) 48,557 44,543Departmental appropriation 33,559 33,039s 74 retained revenue receipts (c) 539 370Departmental capital budget (d) 1,601 448


Total departmental annual appropriations 84,256 78,550Total departmental resourcing 84,256 78,550Total resourcing for Fair Work Building Industry Inspectorate 84,256 78,550





(b) Excludes $19.32m subject to quarantine by Finance or withheld under section 51 of the Public Governance, Performance and Accountability Act 2013 (PGPA Act).

(c) Estimated retained revenue receipts under section 74 of the PGPA Act.(d) Departmental capital budgets are not separately identified in Appropriation Bill (No.1) and form part of


(e) Appropriation Bill (No.2) 2016–17.

150


1.3 BUDGET MEASURES

Budget measures in Part 1 relating to the Office of the Fair Work Building Industry Inspectorate are detailed in Budget Paper No. 2 and are summarised below. Table 1.2: Entity 2016–17 Budget measuresPart 1: Measures announced since the 2015–16 Mid-Year Economic and Fiscal Outlook (MYEFO)The Office of the Fair Work Building Industry Inspectorate does not have any new measures since the 2015–16 MYEFO. For this reason Part 1 of Table 1.2 is not presented.


Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20


1.1

Departmental expenses - - (24) (30) -

Total - - (24) (30) - Public Sector Savings - Shared and Common Services Programme (b)

1.1

Departmental expenses - (53) (106) (106) -


Departmental - (53) (130) (136) -

Total - (53) (130) (136) -


(b) This measure was first published in the 2015–16 Mid-Year Economic and Fiscal Outlook.


151





152


2.1 BUDGETED EXPENSES AND PERFORMANCE FOR OUTCOME 1 Outcome 1: Enforce workplace relations laws in the building and construction industry and ensure compliance with those laws by all participants in the building and construction industry through the provision of education, assistance and advice.


2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

Departmental expensesDepartmental appropriation 33,559 33,039 33,185 33,486 33,823s 74 Retained revenue receipts (a) 539 370 370 370 370Expenses not requiring appropriation in the Budget year (b)

1,088 1,107 1,157 1,157 1,157



1,088 1,107 1,157 1,157 1,157



Program 1.1: Education Services and Compliance Activities





153



Outcome 1— Enforce workplace relations laws in the building and construction industry and ensure compliance with those laws by all participants in the building and construction industry through the provision of education, assistance and advice.


Purpose FWBII enforces workplace relations laws in the building and construction industry through the provision of education, assistance and advice, and where necessary, civil penalty litigation in the courts.This is in accordance with the Fair Work (Building Industry) Act 2012 (FWBI Act), Fair Work Act 2009 (FW Act) and the Independent Contractors Act 2006. In addition, FWBII ensures compliance with the Building Code 2013 (Building Code).Our vision is that all Australian building and construction workplaces are productive and harmonious.Our mission is to ensure that the rule of law prevails in the Australian building and construction industry.

Delivery Provide information, advice and education on the requirements and flexibilities of workplace laws to foster voluntary compliance.Investigate claims regarding alleged breaches of workplace laws and undertake targeted activities.Conduct site visits, inspections and audits involving the building codes of practice.Litigate, where necessary, to enforce compliance with workplace laws.



2015–16 Level of satisfaction of clients with quality and timeliness of advice and assistance provided by FWBII

75% of surveyed clients satisfied or highly satisfiedAssessment: target is expected to be met in 2015–16

Timeliness in commencing proceedings over contraventions of the Fair Work Act 2009, the Independent Contractors Act 2006, the Fair Work (Building Industry) Act 2012, agreements, awards and orders

File 75% of matters in court within 12 months of the complaint being lodgedAssessment: target is not expected to be met in 2015–16

Level of satisfaction of a range of industry participants with contact aimed at promoting appropriate standards of conduct.

75% of surveyed industry participants satisfied or highly satisfiedAssessment: target is expected to be met in 2015–16

154


Outcome 1— Enforce workplace relations laws in the building and construction industry and ensure compliance with those laws by all participants in the building and construction industry through the provision of education, assistance and advice.


2016–17 Enforcement and Compliance: Ensure compliance with workplace laws and the Building Code 2013:

Legal proceedings in court within 12 months of complaint being lodged

75%

Percentage of clients who are satisfied or highly satisfied with the quality and timeliness of advice and assistance provided

75%

Compliance activities to improve compliance with the Building Code 2013

300

Stakeholders: Engagement to promote high levels of compliance among stakeholders

Formal presentations delivered to stakeholders

125

Stakeholders: Engagement to promote high levels of compliance among stakeholders—percentage surveyed industry participants satisfied or highly satisfied with contact by FWBII aimed at promoting appropriate standards of conduct.

75%


As per 2016–17 As per 2016–17


155




3.1.1 Differences between entity resourcing and financial statementsThe Agency Resource Statement (Table 1.1) details the total appropriation available to an agency from all sources. For departmental operating appropriations (outputs) this includes carry-forward amounts as well as amounts appropriated at Budget. As agencies incur and are funded for future liabilities and employee entitlements, the total amount of departmental operating appropriation available to an agency is unlikely to be fully utilised in the Budget year. The difference between the agency resource statement and the sum of all payments made at the departmental outputs level is the expected carry-forward amount of resources for the 2016–17 Budget year, including amounts related to meeting future employee entitlement obligations.3.1.2 Explanatory notes and analysis of budgeted financial statementsThe Fair Work Building Industry Inspectorate is budgeting for an operating loss equal to the unappropriated depreciation and amortisation expense of $1.1 million for the 2016–17 financial year.Total revenues are estimated to be $33.4 million and total expenses $34.5 million.Total assets at the end of the 2016–17 financial year are estimated to be $49.7 million. The majority of the assets represent receivables (appropriations receivable) and property fit outs. Asset acquisitions are planned in Information Technology equipment and systems and on office accommodation fit outs.Total liabilities for 2016–17 are estimated at $5.8 million. The largest liability item is accrued employee entitlements.

156




2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSESEmployee benefits 18,550 18,424 18,637 18,936 19,079Suppliers 15,583 15,020 14,953 14,955 15,149Depreciation and amortisation 1,053 1,072 1,122 1,122 1,122Total expenses 35,186 34,516 34,712 35,013 35,350LESS: OWN-SOURCE INCOMEOwn-source revenueOther 539 370 370 370 370Total own-source revenue 539 370 370 370 370GainsOther 35 35 35 35 35Total gains 35 35 35 35 35Total own-source income 574 405 405 405 405Net (cost of)/contribution by services (34,612) (34,111) (34,307) (34,608) (34,945)Revenue from Government 33,559 33,039 33,185 33,486 33,823Surplus/(deficit) attributable to the Australian Government (1,053) (1,072) (1,122) (1,122) (1,122)OTHER COMPREHENSIVE INCOMEChanges in asset revaluation surplus - - - - -Total other comprehensive income - - - - -Total comprehensive income/(loss) (1,053) (1,072) (1,122) (1,122) (1,122)Total comprehensive income/(loss) attributable to the Australian Government (1,053) (1,072) (1,122) (1,122) (1,122)

157



2015–16$'000

2016–17$'000

2017–18$'000

2018–19$'000

2019–20$'000


- - - - -


1,053 1,072 1,122 1,122 1,122


(1,053) (1,072) (1,122) (1,122) (1,122)



158



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000





Land and buildings 3,567 2,814 2,513 1,710 907Property, plant and equipment 453 370 258 632 911Intangibles 560 570 430 290 150Other non-financial assets 506 506 506 506 506



Suppliers 1,442 1,442 1,442 1,442 1,442Other payables 757 757 757 757 757


Employee provisions 3,639 3,639 3,639 3,639 3,639Total provisions 3,639 3,639 3,639 3,639 3,639 Total liabilities 5,838 5,838 5,838 5,838 5,838 Net assets 44,320 43,846 43,175 42,508 41,844 EQUITY*Parent entity interest

Contributed equity 4,484 5,082 5,533 5,988 6,446Reserves - - - - -Retained surplus (accumulated deficit) 39,836 38,764 37,642 36,520 35,398




159



Retained earnings

$'000

Asset revaluation

reserve$'000


Total equity


Balance carried forw ard from previous period 39,836 - 4,484 44,320Adjusted opening balance 39,836 - 4,484 44,320Comprehensive income

Surplus/(deficit) for the period (1,072) - - (1,072)Total comprehensive income (1,072) - - (1,072)Transactions with owners

Contributions by ownersEquity injection - Appropriation - - 150 150Departmental capital budget (DCB) - - 448 448

Sub-total transactions with owners - - 598 598Estimated closing balance as at 30 June 2017 38,764 - 5,082 43,846


160



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Appropriations 32,444 32,687 33,303 33,584 33,823Other 994 691 691 690 740


Employees 18,301 18,424 18,637 18,936 19,079Suppliers 12,741 15,306 15,239 15,240 15,484

Total cash used 31,042 33,730 33,876 34,176 34,563Net cash from/(used by) operating activities 2,396 (352) 118 98 -INVESTING ACTIVITIESCash received



4,750 246 569 553 458

Total cash used 4,750 246 569 553 458Net cash from/(used by) investing activities (4,750) (246) (569) (553) (458)FINANCING ACTIVITIESCash received

Contributed equity 2,436 598 451 455 458Total cash received 2,436 598 451 455 458Cash used

Other - - - - -Total cash used - - - - -Net cash from/(used by) financing activities 2,436 598 451 455 458Net increase/(decrease) in cash held 82 - - - -




161



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Capital budget - Bill 1 (DCB) 1,601 448 451 455 458Equity injections - Bill 2 - 150 - - -

Total new capital appropriations 1,601 598 451 455 458Provided for:

Purchase of non-financial assets 1,601 598 451 455 458Total items 1,601 598 451 455 458


Funded by capital appropriation - DCB (b) 836 96 569 553 458Funded internally from departmental resources (c)

3,914 - - - -

TOTAL 4,750 246 569 553 458RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLETotal purchases 4,750 246 569 553 458Total cash used to acquire assets 4,750 246 569 553 458



(c) Includes the following sources of funding:- current Bill 1 and prior year Act 1/3/5 appropriations (excluding amounts from the DCB);- internally developed assets;- s 74 Retained revenue receipts; and- proceeds from the sale of assets.


162



Buildings

$'000

Other property, plant and equipment

$'000


intangibles$'000

Total

$'000As at 1 July 2016


(8,292) (789) (934) (10,015)

Opening net book balance 3,567 453 560 4,580Capital asset additions

Estimated expenditure on new or replacement assetsBy purchase - appropriation equity (a) - 96 150 246Total additions - 96 150 246Other movementsDepreciation/amortisation expense (753) (179) (140) (1,072)Total other movements (753) (179) (140) (1,072)


(9,045) (968) (1,074) (11,087)

Closing net book balance 2,814 370 570 3,754



163


Table 3.7: Schedule of budgeted income and expenses administered on behalf of Government (for the period ended 30 June)The Fair Work Building Industry Inspectorate has no budgeted administered income or expenses. For this reason Table 3.7 is not presented.Table 3.8: Schedule of budgeted assets and liabilities administered on behalf of Government (as at 30 June)The Fair Work Building Industry Inspectorate has no budgeted administered assets or liabilities. For this reason Table 3.8 is not presented.Table 3.9: Schedule of budgeted administered cash flows (for the period ended 30 June)The Fair Work Building Industry Inspectorate has no budgeted administered cash flows. For this reason Table 3.9 is not presented.Table 3.10: Administered capital budget statement (for the period ended 30 June)The Fair Work Building Industry Inspectorate has no administered capital budget. For this reason Table 3.10 is not presented.Table 3.11: Statement of administered asset movements (Budget year 2016–17) The Fair Work Building Industry Inspectorate has no administered non-financial assets. For this reason Table 3.11 is not presented.

164

Safe Work Australia


SWA Budget Statements

SAFE WORK AUSTRALIA




167


SAFE WORK AUSTRALIA



Safe Work Australia was established on 1 November 2009 as a Statutory Agency under the Safe Work Australia Act 2008 (the Act). The agency operates under the Commonwealth Government's accountability and governance frameworks.Safe Work Australia is the body leading the development of national policy to improve work health and safety and workers’ compensation across Australia. Safe Work Australia works collaboratively with regulators, industry and worker associations and the community, to realise the national vision of healthy, safe and productive working lives. The future direction for Safe Work Australia will continue the effective delivery of strategies articulated through the corporate plan so Australia can become a world leader in the delivery of work health and safety and workers’ compensation outcomes.The establishment of Safe Work Australia was provided for in the Intergovernmental Agreement for Regulatory and Operational Reform in Occupational Health and Safety (IGA), agreed by the Council of Australian Governments (COAG) on 3 July 2008. The agency is jointly funded by the Commonwealth, state and territory governments. This funding arrangement promotes collaboration with jurisdictions on policy development, implementation, compliance and enforcement, and communication activities.Safe Work Australia has 15 Members, including an independent Chair, nine Members representing the Commonwealth and each state and territory, two Members representing the interests of employers, two representing the interests of employees, and the Chief Executive Officer of Safe Work Australia (CEO).The CEO manages the agency under section 45 of the Act and is the Accountable Authority in accordance with the Public Governance, Performance and Accountability Act 2013.Together, the Safe Work Australia Members and the agency work to achieve : significant and continued reductions in the incidence of work-

related death, injury and illness through:– an improved and reformed work health and safety framework

169


– increased work health and safety awareness and skills– an evidence base which informs policy and practice– reduced exposure to work-related hazards causing injury and

illness – improved quality of workplace controls

improved outcomes for injured workers and their employers through more effective, efficient, clearly understood and sustainable workers’ compensation arrangements.

During 2016–17, Safe Work Australia will continue to be a model for the innovative development of multi-stakeholder policy. We will do this by: bringing together and recognising varying views and interests to

develop effective national policy to improve work health and safety and workers’ compensation outcomes

using our influence and innovative technologies to increase health and safety knowledge and capability and to integrate work health and safety into normal business practices

being a key source of work health and safety and workers’ compensation research and data

improving workers’ compensation arrangements with a particular focus on return to work outcomes

developing and progressing policy proposals that will lead to nationally consistent explosives regulation

working with other countries or international organisations and representing Australia at relevant forums to share data, information and knowledge on work health and safety and workers’ compensation matters to improve Australian outcomes.

170



Table 1.1 shows the total funding from all sources available to the entity for its operations and to deliver programs and services on behalf of the government. The table summarises how resources will be applied by outcome (government strategic policy objectives) and by administered (on behalf of the government or the public) and departmental (for the entity’s operations) classification.For more detailed information please refer to Budget Paper No. 4—Agency Resourcing.Information in this table is presented on a resourcing (i.e. appropriations/cash available) basis, whilst the ‘Budgeted expenses by Outcome 1’ tables in Section 2 and the financial statements in Section 3 are presented on an accrual basis. Table 1.1: Safe Work Australia resource statement—Budget estimates for 2016–17 as at Budget May 2016

2015–16 Estimated

actual $'000

2016–17 Estimate


Departmental appropriation 9,625 9,740Departmental capital budget (b) 73 81

Total departmental annual appropriations 9,698 9,821Special accounts (c)

Opening balance 12,342 12,042Appropriation receipts (d) 9,698 9,821Non-appropriation receipts 11,038 11,151

Total special accounts 33,078 33,014less departmental appropriations drawn from annual/special appropriations and credited to special accounts (9,698) (9,821)Total departmental resourcing 33,078 33,014Total resourcing for Safe Work Australia 33,078 33,014





(b) Departmental capital budgets are not separately identified in Appropriation Bill (No.1) and form part of ordinary annual services items. Please refer to Table 3.5 for further details. For accounting purposes, this amount has been designated as a 'contribution by owner’.

(c) Excludes 'Special Public Money' held in accounts like Other Trust Monies accounts (OTM).

171


(d) Amounts credited to the special account(s) from Safe Work Australia’s annual and special appropriations.

172


1.3 BUDGET MEASURES

Budget measures in Part 1 relating to Safe Work Australia are detailed in Budget Paper No. 2 and summarised below. Table 1.2: Entity 2016–17 Budget measuresPart 1: Measures announced since the 2015–16 Mid-Year Economic and Fiscal Outlook (MYEFO)Safe Work Australia does not have any new measures since the 2015–16 MYEFO. For this reason Part 1 of Table 1.2 is not presented.Part 2: Other measures not previously reported in a portfolio statement

Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000MeasuresPublic Sector Savings - Shared and Common Services Programme (a)

1


Total - (15) (29) (29) - Public Sector Superannuation Accumulation Plan administration fees(b)

1

Administered expenses - - - - - Departmental expenses (7) (7) (7) (7) (7)

Total (7) (7) (7) (7) (7) Total measures

Administered - - - - - Departmental (7) (22) (36) (36) (7)

Total (7) (22) (36) (36) (7)

(a) This measure was first published in the 2015–16 Mid-Year Economic and Fiscal Outlook.(b) This measure was first published in the 2014–15 Mid-Year Economic and Fiscal Outlook.


173





174


2.1 BUDGETED EXPENSES AND PERFORMANCE FOR OUTCOME 1 Outcome 1: Healthier, safer and more productive workplaces through improvements to Australian work health and safety and workers’ compensation arrangements.

Linked programs

Department of HealthPrograms

Program 5.1—Protect the Health and Safety of the Community through Regulation.

Contribution to Outcome 1 made by linked programsSafe Work Australia contributes to the protection of the health and safety of the Australian Community through effective management of risks arising from industrial chemicals through Australian work health and safety and workers' compensation arrangements (5.1).



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

Departmental expensesDepartmental appropriation (a) 9,625 9,740 10,145 10,382 10,675Special accounts 10,028 10,137 10,183 10,419 10,681Expenses not requiring appropriation in the Budget year (b)

246 332 275 281 281


Departmental expensesDepartmental appropriation 9,625 9,740 10,145 10,382 10,675Special accounts 10,028 10,137 10,183 10,419 10,681Expenses not requiring appropriation in the Budget year (b)

246 332 275 281 281



Program 1.1: Reform of and improvements to Australian work health and safety and workers' compensation arrangements


(a) Estimated expenses incurred in relation to receipts retained under section 74 of the Public Governance, Performance and Accountability Act 2013.



176



Outcome 1: Healthier, safer and more productive workplaces through improvements to Australian work health and safety and workers' compensation arrangements.

Purpose Safe Work Australia has an important national role to achieve significant and continual reductions in the incidence of work-related death, injury and illness and to improve outcomes for injured workers and their employers.To be able to meet its objectives Safe Work Australia works collaboratively with regulators, industry and employee associations and the community to achieve healthy, safe and productive working lives for all Australians.

Program 1.1: Reform of and improvements to Australian work health and safety and workers' compensation arrangements contribute to Outcome 1 by the innovative development of multi-stakeholder policy and being central to Australia becoming a world leader in the delivery of improved safety and compensation outcomes.

Delivery The deliverables for Safe Work Australia are highlighted in its annual operational plan:• Coordinate and report on the progress of national activities being

implemented to assist in the achievement of the outcomes and targets outlined in the Australian Work Health and Safety Strategy 2012–2022.

• Develop and deliver high-quality, innovative and engaging material and undertake activities that

– improve work health and safety capability– integrate work health and safety into normal business practices– provide accessible, effective and practical information to aid

understanding and compliance particularly for individuals and small business.

• Collect, maintain, improve and report on national work health and safety and workers' compensation data.

• Undertake and disseminate research and analysis on emerging work health and safety and workers’ compensation issues to identify new priorities and areas for policy and program development.

• Monitor, evaluate and remove unnecessary regulation to enhance the model Work Health and Safety laws to improve safety outcomes and address issues impeding the effective and efficient operation of the laws.

• Improve workers' compensation arrangements with a particular focus on improving return to work outcomes.

• Develop and progress policy proposals that will lead to nationally consistent explosives regulation.

• Work with other countries or international organisations and represent Australia at relevant forums (as appropriate) to share data, information and/or knowledge on work health and safety and workers' compensation matters.

177




2015–16 The work health and safety framework continues to be developed, implemented and reviewed in accordance with COAG requirements.

COAG requirements are met.

Level of satisfaction of the Chair of Safe Work Australia with how the agency is achieving the deliverables of its operational plan.

Chair rates the performance of the agency as very good or above.

Level of satisfaction of the Members of Safe Work Australia with how the agency is achieving the deliverables of its operational plan.

80% of Members agree the agency is achieving the deliverables of its operational plan.

2016–17 Activities in the Operational Plan are delivered to the expected quality, on time and within budgetReductions in the incidence of work-related death, injury and illness through:• an improved and reformed work health

and safety framework• increased work health and safety

awareness and skills• developing and maintaining an evidence

base which informs policy and practice• reduced exposure to work-related

hazards causing injury and illness, and• improved quality of workplace controls.

80% of Members and the Chair are satisfied with the agency achievementsBy 2022:• reduce workplace fatalities

due to injury by 20 per cent or more

• reduce the incidence rate of serious workers’ compensation claims by 30 per cent or more, and

• reduce the incidence rate of serious workers’ compensation claims for musculoskeletal claims by 30 per cent or more.


As per 2016–17 As per 2016–17


178




3.1.1 Differences between entity resourcing and financial statementsSafe Work Australia receives funds from states and territories and matched appropriation funding from the Commonwealth as provided for in the IGA.3.1.2 Explanatory notes and analysis of budgeted financial statementsThe agency is not expecting any major changes in its operations from a financial perspective. Funding arrangements are provided for in the IGA.Safe Work Australia is budgeting for an operating loss equal to the unappropriated depreciation and amortisation expense of $0.3 million for the 2016–17 financial year.Total revenues are estimated to be $19.9 million and total expenses $20.2 million.Total assets at the end of the 2016–17 financial year are estimated to be $13.2 million. The majority of the assets represent receivables (appropriations receivable).Total liabilities for 2016–17 are estimated at $5.8 million. The largest liability item is accrued employee entitlements.

179




2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSESEmployee benefits 12,868 13,008 13,355 13,868 14,752Suppliers 6,745 6,829 6,933 6,893 6,564Grants 100 100 100 100 100Depreciation and amortisation 186 272 215 221 221Total expenses 19,899 20,209 20,603 21,082 21,637LESS: OWN-SOURCE INCOMEOwn-source revenueSale of goods and rendering of services 10,028 10,137 10,183 10,419 10,681Total own-source revenue 10,028 10,137 10,183 10,419 10,681GainsOther 60 60 60 60 60Total gains 60 60 60 60 60Total own-source income 10,088 10,197 10,243 10,479 10,741Net (cost of)/contribution by services (9,811) (10,012) (10,360) (10,603) (10,896)Revenue from Government 9,625 9,740 10,145 10,382 10,675Surplus/(deficit) attributable to the Australian Government (186) (272) (215) (221) (221)Total comprehensive income/(loss) (186) (272) (215) (221) (221)Total comprehensive income/(loss) attributable to the Australian Government (186) (272) (215) (221) (221)

180



2015–16$'000

2016–17$'000

2017–18$'000

2018–19$'000

2019–20$'000


- - - - -


186 272 215 221 221


(186) (272) (215) (221) (221)



181



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000





Land and buildings 615 380 245 180 101Property, plant and equipment 129 144 103 91 100Intangibles 40 69 119 69 19

Total non-financial assets 784 593 467 340 220 Assets held for sale - - - - -


Suppliers 1,635 1,635 1,635 1,635 1,635Total payables 1,635 1,635 1,635 1,635 1,635 Provisions

Employee provisions 4,176 4,176 4,176 4,176 4,176Total provisions 4,176 4,176 4,176 4,176 4,176 Total liabilities 5,811 5,811 5,811 5,811 5,811 Net assets 7,630 7,439 7,313 7,186 7,066 EQUITY*Parent entity interest

Contributed equity 4,347 4,428 4,517 4,611 4,712Reserves 859 859 859 859 859Retained surplus (accumulated deficit) 2,424 2,152 1,937 1,716 1,495




182



Retained earnings

$'000

Asset revaluation

reserve$'000

Contributed equity/ capital

Total equity


Balance carried forw ard from previous period 2,424 859 4,347 7,630Adjusted opening balance 2,424 859 4,347 7,630

Other comprehensive income - - - -Surplus/(deficit) for the period (272) - - (272)

Total comprehensive income (272) - - (272)of w hich:

Attributable to the Australian Government (272) - - (272)Transactions with owners

Contributions by ownersDepartmental capital budget (DCB) - - 81 81

Sub-total transactions with owners - - 81 81Transfers betw een equity

Transfers betw een equity components - - - -Estimated closing balance as at 30 June 2017 2,152 859 4,428 7,439Closing balance attributable to the Australian Government 2,152 859 4,428 7,439


183



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Appropriation receipts from Government

10,225 9,740 10,145 10,382 10,675

Sale of goods and rendering of services

11,434 10,975 10,908 11,380 11,434


Employees 12,868 13,008 13,355 12,973 14,752Suppliers 6,745 6,829 6,813 7,899 6,504Grants 100 100 100 100 100Net GST paid 687 695 695 695 651

Total cash used 20,400 20,632 20,963 21,667 22,007Net cash from/(used by) operating activities 1,259 83 90 95 102INVESTING ACTIVITIESCash received

Proceeds from sales of property, plant and equipment

- - - - -

Total cash received - - - - -Cash used


673 81 89 94 101

Total cash used 673 81 89 94 101Net cash from/(used by) investing activities (673) (81) (89) (94) (101)FINANCING ACTIVITIESCash received

Contributed equity 73 81 89 94 101Total cash received 73 81 89 94 101Cash used

Other 673 83 90 95 102Total cash used 673 83 90 95 102Net cash from/(used by) financing activities (600) (2) (1) (1) (1)Net increase/(decrease) in cash held (14) - - - -




184



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

NEW CAPITAL APPROPRIATIONSCapital budget - Bill 1 (DCB) 73 81 89 94 101

Total new capital appropriations 73 81 89 94 101Provided for:

Purchase of non-financial assets 73 81 89 94 101Total items 73 81 89 94 101

PURCHASE OF NON-FINANCIAL ASSETSFunded by capital appropriation - DCB (a) 73 81 89 94 101Funded internally from departmental resources (b)

600 - - - -

TOTAL 673 81 89 94 101RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLETotal purchases 673 81 89 94 101Total cash used to acquire assets 673 81 89 94 101


(b) Includes the following sources of funding:- current Bill 1 and prior year Act 1/3/5 appropriations (excluding amounts from the DCB);- internally developed assets;- s 74 Retained revenue receipts; and- proceeds from the sale of assets.


185



Buildings

$'000


equipment$'000


intangibles$'000

Total

$'000

As at 1 July 2016Gross book value 2,318 220 374 2,912Accumulated depreciation/amortisation and impairment

(1,674) (120) (334) (2,128)

Opening net book balance 644 100 40 784Capital asset additions

Estimated expenditure on new or replacement assetsBy purchase - appropriation ordinary annual services (a)

(149) 110 120 81

Total additions (149) 110 120 81Other movementsDepreciation/amortisation expense (115) (66) (91) (272)Total other movements (115) (66) (91) (272)

As at 30 June 2017Gross book value 2,169 330 494 2,993Accumulated depreciation/amortisation and impairment

(1,789) (186) (425) (2,400)

Closing net book balance 380 144 69 593

(a) Appropriation ordinary annual services’ refers to funding provided through Appropriation Bill (No. 1) 2015–16 for depreciation/amortisation expenses, DCBs or other operational expenses.


SWA Budget Statem

ents


Table 3.7: Schedule of budgeted income and expenses administered on behalf of Government (for the period ended 30 June)Safe Work Australia has no budgeted administered income or expenses. For this reason Table 3.7 is not presented.Table 3.8: Schedule of budgeted assets and liabilities administered on behalf of Government (as at 30 June)Safe Work Australia has no budgeted administered assets or liabilities. For this reason Table 3.8 is not presented.Table 3.9: Schedule of budgeted administered cash flows (for the period ended 30 June)Safe Work Australia has no budgeted administered cash flows. For this reason Table 3.9 is not presented.Table 3.10: Administered capital budget statement (for the period ended 30 June)Safe Work Australia has no administered capital budget. For this reason Table 3.10 is not presented.Table 3.11: Statement of administered asset movements (Budget year 2016–17) Safe Work Australia has no administered non-financial assets. For this reason Table 3.11 is not presented.

187

Workplace Gender Equality Agency


WGEA Budget Statements

WORKPLACE GENDER EQUALITY AGENCY




191


WORKPLACE GENDER EQUALITY AGENCY



The Workplace Gender Equality Agency (WGEA), established under the Workplace Gender Equality Act 2012 (the Act), is charged with promoting and improving gender equality in Australian workplaces. WGEA’s vision is for women and men to be equally represented, valued and rewarded in the workplace.Under the Act, non-public sector employers with 100 or more employees are required to submit a report annually to the Agency against six gender equality indicators (GEIs):

GEI 1: gender composition of the workforce GEI 2: gender composition of governing bodies GEI 3: equal remuneration between women and men GEI 4: availability and utility of employment terms, conditions

and practices relating to flexible working arrangements for employees and to working arrangements supporting employees with family or caring responsibilities

GEI 5: consultation with employees on issues concerning gender equality in the workplace

GEI 6: sex-based harassment and discrimination.The Agency’s dataset is based on approximately 5,000 reports submitted on behalf of approximately 12,000 employers and covers almost 40 per cent of all employees in Australia. This dataset underpins initiatives to promote and improve workplace gender equality through:

the annual publication of key findings in Australia’s gender equality scorecard

the publication of aggregated competitive analyses/benchmark data on an interactive data centre on the Agency’s website

the provision to each employer of a confidential customised competitor analysis/benchmark report

the award to the WGEA Employer of Choice for Gender Equality citation to employers reflecting leading practice in gender equality

the development of educational tools and resources partnering in research engagement with business and the community to drive public

awareness of gender equality issues.


The strategic priorities for WGEA in 2016–17 and the forward years are to increase our impact and reach, realise the potential of our data and to develop our team.More information about the WGEA is available at www.wgea.gov.au, where the WGEA Corporate Plan is also published.

http://www.wgea.gov.au/



Table 1.1 shows the total funding from all sources available to the entity for its operations and to deliver programs and services on behalf of the government. The table summarises how resources will be applied by outcome (government strategic policy objectives) and by administered (on behalf of the government or the public) and departmental (for the entity’s operations) classification.For more detailed information please refer to Budget Paper No. 4—Agency Resourcing.Information in this table is presented on a resourcing (i.e. appropriations/cash available) basis, whilst the ‘Budgeted expenses by Outcome 1’ tables in Section 2 and the financial statements in Section 3 are presented on an accrual basis. Table 1.1: Workplace Gender Equality Agency resource statement—Budget estimates for 2016–17 as at Budget May 2016

2015–16 Estimated

actual $'000

2016–17 Estimate


Prior year appropriations available (b) 974 974Departmental appropriation 4,935 4,891s 74 retained revenue receipts (c) 100 100Departmental capital budget (d) 197 194

Total departmental resourcing 6,206 6,159Total resourcing for Workplace Gender Equality Agency 6,206 6,159




(a) Appropriation Bill (No. 1) 2016–17.

(b) Estimated adjusted balance carried forward from previous year.(c) Estimated retained revenue receipts under section 74 of the Public Governance, Performance and Accountability Act 2013.(d) Departmental capital budgets are not separately identified in Appropriation Bill (No.1) and form part of ordinary annual services items. Please refer to Table 3.5 for further details. For accounting purposes, this amount has been designated as a 'contribution by owner'.

195


1.3 BUDGET MEASURES

Budget measures in Part 1 relating to the Workplace Gender Equality Agency are detailed in Budget Paper No. 2 and are summarised below. Part 1: Measures announced since the 2015–16 Mid-Year Economic and Fiscal Outlook (MYEFO)The Workplace Gender Equality Agency does not have any new measures since the 2015–16 MYEFO. For this reason Part 1 of Table 1.2 is not presented.Part 2: Other measures not previously reported in a portfolio statement

Program2015–16

$'0002016–17

$'0002017–18

$'0002018–19

$'0002019–20

$'000MeasuresPublic Sector Savings - Shared and Common Services Programme(a)

1.1



Administered - - - - - Departmental - (8) (16) (16) -

Total - (8) (16) (16) -



196





197


2.1 BUDGETED EXPENSES AND PERFORMANCE FOR OUTCOME 1 Outcome 1: Promote and improve gender equality in Australian workplaces including through the provision of advice and assistance to employers and the assessment and measurement of workplace gender data.


2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000


627 601 570 450 371



627 601 570 450 371

Departmental total 5,662 5,592 5,595 5,520 5,490

Total expenses for Outcome 1 5,662 5,592 5,595 5,520 5,490

2015–16 2016–17

Average staffing level (number) 30 30

Program 1.1: Workplace Gender Equality







Outcome 1—Promote and improve gender equality in Australian workplaces including through the provision of advice and assistance to employers and the assessment and measurement of workplace gender data.Program 1.1—Workplace Gender EqualityThe Workplace Gender Equality Agency will deliver on Outcome 1 by assisting relevant employees to report to the Agency; educating employers on improving gender equality outcomes; promoting and contributing to understanding, acceptance and public discussion of gender equality in the Australian workplace; using gender equality data to improve workplace gender equality and fostering compliance with the reporting and transparency provisions of the Act.

Purpose The purpose of the Workplace Gender Equality Agency is to promote amongst employers, the elimination of discrimination on the basis of gender in relation to employment matters, to foster workplace consultation between employers and employees on issues concerning gender equality in employment and in the workplace; to improve the productivity and competitiveness of Australian business through the advancement of gender equality in employment and in the workplace; and to remove barriers to the full and equal participation of women in the workplace.

Delivery Key activities to support the purpose of the Agency are:1. advising and assisting employers to promote and improve gender

equality in the workplace including providing advice and assistance on the collection and analysis of workplace data

2. undertaking research, educational and other programs designed to promote and improve gender equality in the workplace

3. promoting and contributing to understanding, acceptance and public discussion of gender equality in the workplace

4. reviewing compliance with the Act by relevant employers.

199




2015–16 Educating employers on improving gender equality outcomes

Increase in education participants.Assessment: Target of 1419 has been exceeded and forecast is 2316.

Increase in visits to Agency website.Assessment: On track—target of 210,000 has almost been achieved and forecast is 250,000.

Promoting understanding, acceptance and public discussion on gender equality issues

Maintaining the number of speeches and events delivered.Assessment: Target of 52 has been achieved and forecast is 56 based on events already scheduled.

Using gender equality data to improve gender equality in workplaces

Increasing the number of Employer of Choice for Gender Equality organisations (EOCGEs)Assessment: Target of 88 has been exceeded. There are currently 90 EOCGEs

2016–17 Increasing our impact and reach on gender equality issues through leveraging and development of our networks

Increase in speaking engagements and event participation

Realising the potential of gender equality data by optimising its collection, analysis and release

Improve the ease of reporting and increase the means by which the data is communicated

Communicating effectively on gender equality matters by reviewing our channels and audience

Increase our media presence and third party advocacy and increase industry roundtables


Increasing our impact and reach on gender equality issues through development and delivery of educational tools and resources to inform and equip

Review and refresh of educational resources and toolkits

Realising the potential of gender equality data by mining for evidence to add value and generate insights

Establish additional research partnerships and influence the research agenda on gender equality

Communicating widely on gender equality matters in consumable forms which tell the story.

Refresh of website content to include increase in case studies and result in more visits to the site


200




3.1.1 Differences between entity resourcing and financial statementsThe Workplace Gender Equality Agency has nil differences to report.3.1.2 Explanatory notes and analysis of budgeted financial statementsThe Workplace Gender Equality Agency is budgeting for an operating loss equal to the unappropriated depreciation and amortisation expense of $0.57 million for the 2016–17 financial year.Total revenues are estimated to be $4.9 million and total expenses $5.6 million.Total assets at the end of the 2016–17 financial year are estimated to be $2.9 million. The majority of the assets represent receivables (appropriation receivables) and intangible assets.Total liabilities for 2016–17 are estimated at $1.2 million. The largest liability items are accrued expenses and accrued employee entitlements.

201




2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000EXPENSESEmployee benefits 3,407 3,484 3,559 3,616 3,717Suppliers 1,651 1,530 1,489 1,477 1,425Depreciation and amortisation 594 568 537 417 338Finance costs 10 10 10 10 10Total expenses 5,662 5,592 5,595 5,520 5,490LESS: OWN-SOURCE INCOMEOwn-source revenueSale of goods and rendering of services 100 100 100 100 100Total own-source revenue 100 100 100 100 100GainsOther 33 33 33 33 33Total gains 33 33 33 33 33Total own-source income 133 133 133 133 133Net (cost of)/contribution by services (5,529) (5,459) (5,462) (5,387) (5,357)Revenue from Government 4,935 4,891 4,925 4,970 5,019

Surplus/(deficit) attributable to the Australian Government (594) (568) (537) (417) (338)Total comprehensive income/(loss) (594) (568) (537) (417) (338)Total comprehensive income/(loss) attributable to the Australian Government (594) (568) (537) (417) (338)

202



2015–16$'000

2016–17$'000

2017–18$'000

2018–19$'000

2019–20$'000


- - - - -


594 568 537 417 338


(594) (568) (537) (417) (338)



203



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Cash and cash equivalents 216 216 216 216 216Trade and other receivables 766 766 766 766 766

Total financial assets 982 982 982 982 982 Non-financial assets

Land and buildings 385 232 79 - -Property, plant and equipment 124 46 - - -Intangibles 1,865 1,722 1,587 1,453 1,321Other non-f inancial assets 7 7 7 7 7



Suppliers 5 5 5 5 5Other payables 601 600 600 600 600

Total payables 606 605 605 605 605 Interest bearing liabilities

Leases 65 65 65 65 65Total interest bearing liabilities 65 65 65 65 65 Provisions

Employee provisions 523 524 524 524 524Other provisions 12 12 12 12 12

Total provisions 535 536 536 536 536 Total liabilities 1,206 1,206 1,206 1,206 1,206 Net assets 2,157 1,783 1,449 1,236 1,104 EQUITY*Parent entity interest

Contributed equity 3,856 4,050 4,253 4,457 4,663Retained surplus (accumulated def icit)

(1,699) (2,267) (2,804) (3,221) (3,559)




204



Retained earnings

$'000

Contributed equity/ capital

$'000

Total equity


Balance carried forw ard from previous period (1,699) 3,856 2,157

Adjusted opening balance (1,699) 3,856 2,157Comprehensive income

Surplus/(deficit) for the period (568) - (568)Total comprehensive income (568) - (568)

of w hich:Attributable to the Australian Government (568) - (568)

Transactions with ownersContributions by owners

Departmental capital budget (DCB) - 194 194Sub-total transactions with owners - 194 194Estimated closing balance as at 30 June 2017 (2,267) 4,050 1,783Closing balance attributable to the Australian Government (2,267) 4,050 1,783


205



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000



Appropriations 4,737 4,695 5,119 4,970 5,019Sale of goods and rendering of services

100 100 100 100 100


Employees 3,405 3,483 3,559 3,616 3,717Suppliers 1,430 1,311 1,660 1,454 1,402Other 2 1 - - -

Total cash used 4,837 4,795 5,219 5,070 5,119Net cash from/(used by) operating activities - - - - -INVESTING ACTIVITIESCash received



197 194 203 204 206

Total cash used 197 194 203 204 206Net cash from/(used by) investing activities (197) (194) (203) (204) (206)FINANCING ACTIVITIESCash received

Contributed equity 197 194 203 204 206Total cash received 197 194 203 204 206Cash used

Other - - - - -Total cash used - - - - -Net cash from/(used by) financing activities 197 194 203 204 206Net increase/(decrease) in cash held - - - - -




206



2015–16 Estimated

actual$'000

2016–17Budget

$'000


$'000


$'000


$'000

NEW CAPITAL APPROPRIATIONS

Capital budget - Bill 1 (DCB) 197 194 203 204 206

Total new capital appropriations 197 194 203 204 206

Provided for:Purchase of non-financial assets 197 194 203 204 206

Total items 197 194 203 204 206PURCHASE OF NON-FINANCIAL ASSETS

Funded by capital appropriation - DCB (a)

197 194 203 204 206

TOTAL 197 194 203 204 206RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLE

Total purchases 197 194 203 204 206

Total cash used to acquire assets 197 194 203 204 206



207



Buildings

$'000


equipment$'000


intangibles$'000

Total

$'000As at 1 July 2016

Gross book value 1,138 401 2,663 4,202Accumulated depreciation/amortisation and impairment

(753) (277) (798) (1,828)

Opening net book balance 385 124 1,865 2,374Capital asset additions

Estimated expenditure on new or replacement assetsBy purchase - appropriation ordinary annual services (a)

- - 194 194

Total additions - - 194 194Other movementsDepreciation/amortisation expense (153) (78) (337) (568)Total other movements (153) (78) (337) (568)

As at 30 June 2017Gross book value 1,138 401 2,857 4,396Accumulated depreciation/ amortisation and impairment

(906) (355) (1,135) (2,396)

Closing net book balance 232 46 1,722 2,000

(a) ‘Appropriation ordinary annual services’ refers to funding provided through Appropriation Bill (No. 1) 2016–17 for depreciation/amortisation expenses, DCBs or other operational expenses.


208


Table 3.7: Schedule of budgeted income and expenses administered on behalf of Government (for the period ended 30 June)WGEA has no income and expenses administered on behalf of government. For this reason Table 3.7 is not presented. Table 3.8: Schedule of budgeted assets and liabilities administered on behalf of Government (as at 30 June)WGEA has no administered assets and liabilities. For this reason Table 3.8 is not presented. Table 3.9: Schedule of budgeted administered cash flows (for the period ended 30 June)WGEA has no administered cash flows. For this reason Table 3.9 is not presented.Table 3.10: Administered capital budget statement (for the period ended 30 June)WGEA has no administered capital budget. For this reason Table 3.10 is not presented.Table 3.11: Statement of administered asset movements (Budget year 2016–17) WGEA has no administered non-financial assets. For this reason Table 3.11 is not presented.

209

Glossary

PORTFOLIO GLOSSARYAccrual Accounting System of accounting where items are brought to account and

included in the financial statements as they are earned or incurred, rather than as they are received or paid.

Additional Estimates Where amounts appropriated at Budget time are insufficient, Parliament may appropriate more funds to portfolios through the Additional Estimates Acts.

Additional Estimates Bills or Acts

These are Appropriation Bills 3 and 4, and a separate Bill for the Parliamentary Departments [Appropriations (Parliamentary Departments) Bill (No. 2)]. These Bills are introduced into Parliament sometime after the Budget Bills.

Administered Items Expenses, revenues, assets or liabilities managed by agencies on behalf of the Commonwealth. Agencies do not control administered items. Administered expenses include grants, subsidies and benefits. In many cases, administered expenses fund the delivery of third party outputs.

Appropriation An authorisation by Parliament to spend moneys from the Consolidated Revenue Fund for a particular purpose.

Annual Appropriation Two Appropriation Bills are introduced into Parliament in May and comprise the Budget for the financial year beginning 1 July. Further Bills are introduced later in the financial year as part of the additional estimates. Parliamentary departments have their own appropriations.

Assets Assets are physical objects and legal rights it is expected will provide benefits in the future or alternatively items of value owned by an Agency.

Budget Measure A decision by Cabinet or Ministers and has resulted in a cost or savings to outlays.

Capital expenditure Expenditure by an agency on capital projects, for example purchasing a building.

Consolidated Revenue Fund

Section 81 of the Constitution stipulates that all revenue raised or money received by the Commonwealth forms the one consolidated revenue fund (CRF). The CRF is not a bank account. The Official Public Account reflects most of the operations of the CRF.

Departmental items Assets, liabilities, revenues and expenses that are controlled by the agency in providing its outputs. Departmental items would generally include computers, plant and equipment assets used by agencies in providing goods and services and most employee expenses, supplier costs and other administrative expenses incurred.

Depreciation Apportionment of an asset’s capital value as an expense over its estimated useful life to take account of normal usage, obsolescence, or the passage of time.

Equity or net assets Residual interest in the assets of an entity after deduction of its liabilities.

Expenses Total value of all of the resources consumed in producing goods and services or the loss of future economic benefits in the form of reductions in assets or increases in liabilities of an entity.

211

Glossary

Fair value Valuation methodology: The amount for which an asset could be exchanged or a liability settled, between knowledgeable and willing parties in an arm’s length transaction. The fair value can be affected by the conditions of the sale, market conditions and the intentions of the asset holder.

Forward estimates A system of rolling three year financial estimates. After the budget is passed, the first year of the forward estimates becomes the base for the next year’s budget bid, and another out-year is added to the forward estimates.

Liabilities Liabilities represent amounts owing on goods or services that have been received but not yet paid for. A liability shows the future commitment of the Agency’s assets.

Measure A new Government policy or savings decision with financial impacts.

Net annotated appropriation (Section 74 Receipts)

Section 74 receipts, also known as net annotated appropriations, are a form of appropriation which allows a department access to certain money it receives in payment of services. These monies are known as Section 74 Receipts, reflecting their authority under Section 74 of the PGPA Act.

Operating result Equals revenue less expenses.

Outcomes The government's objectives in each portfolio area. Outcomes are desired results, impacts or consequences for the Australian community as influenced by the actions of the Australian Government. Actual outcomes are assessments of the end-results or impacts actually achieved.

Performance measure Measures the joint or independent contribution of outputs and administered items to the achievement of their specified outcome.

Portfolio A Minister’s area of responsibility as a member of Cabinet. A portfolio consists of one or more Departments of State (ie the portfolio departments) and a number of entities with similar general objectives and outcomes.

Portfolio Budget Statements

Statements prepared by portfolios to explain the budget appropriations in terms of outcomes.

Program Entities deliver programs, which are government actions taken to deliver the stated outcomes. Entities are required to identify the programs which contribute to government outcomes over the Budget and forward years.

Public Governance, Performance and Accountability Act 2013 (PGPA Act)

The PGPA Act replaced the Financial Management and Accountability Act 1997 (FMA Act) and the Commonwealth Authorities and Companies Act 1997 (CAC Act) on 1 July 2014. As the primary piece of Commonwealth resource management legislation, the PGPA Act establishes a coherent system of governance and accountability for public resources, with an emphasis on planning, performance and reporting. The Act applies to all Commonwealth entities and Commonwealth companies.

Receipts The total or gross amount received by the Australian Government. Each receipt item is either revenue, an offset within outlays, or a financing transaction. Receipts include taxes, interest, charges for goods and services, borrowings and Government Business Enterprise (GBE) dividends received.

212

http://www.finance.gov.au/resource-management/governance/#flipchart

http://www.finance.gov.au/resource-management/introduction/

http://www.comlaw.gov.au/Series/C2013A00123



Glossary

Revenue Total value of resources earned or received to cover the production of goods and services.

Section 74 Receipts See net annotated appropriation.

Special Account Special accounts provide a means to set aside and record amounts used for specified purposes. Special accounts can be created by a Finance Minister’s determination under section 78 of the PGPA Act or under separate enabling legislation (section 80 of the PGPA Act refers).

Special Appropriations (including Standing Appropriations)

An amount of money appropriated by a particular Act of Parliament for a specific purpose and number of years. For special appropriations the authority to withdraw funds from the Consolidated Revenue Fund does not generally cease at the end of the financial year. Standing appropriations are a sub-category consisting of ongoing special appropriations—the amount appropriated will depend on circumstances specified in the legislation.

213

portfolio budget statements · web viewfresh approaches—generating and understanding...

Documents