Home > Contents > Chapter 10 - People Management

People Management

Section 1 - Workforce planning, staff turnover and retention
Section 2 - Learning and development
Section 3 - Impact and features of Certified Agreement and the Australian Workplace Agreements
Section 4 - Occupational Health and Safety
Section 5 - Commonwealth Disability Strategy

This chapter looks at the management and development of our people to achieve departmental objectives and outcomes. It discusses workforce planning, employee turnover and retention, employee learning and development, occupational health and safety and workplace relations.

Effective people management is crucial to the achievement of our business. Our people management strategies are underpinned by our stated organisational capabilities, which have been identified as collaborate, understand, create, anticipate, influence and implement. These capabilities are supported by values of leadership, diversity and fairness.

Section 1 – Workforce planning, staff turnover and retention

Effective planning and people management strategies reduce staff turnover and aid staff retention. The department also recognises that to deliver our vision, we need the right people with the right skills in the right place, performing well. Therefore, our focus is to develop and maintain a skilled, motivated and flexible workforce through development, renewal, deployment and retention strategies.

The department’s people management strategies are formally incorporated in the People Management Improvement Plan. Priorities identified in the Plan are developed through corporate consultation and processes such as staff surveys and human resource benchmarking. The people management strategies are evaluated to assess the effectiveness of people management systems and to identify areas of future priority.

As reported last year, the department participated in a pilot people management benchmarking study conducted by the Australian National Audit Office. Good performance was reported in a number of areas. Findings from the report are being used to refine people management strategies and to set priorities. Recommendations correlate with those areas also identified through internal workforce planning processes. They include recruitment and selection, and learning and development. The Australian National Audit Office report has also assisted in the identification of key people management performance indicators for regular reporting to the department’s Executive.

Performance management continues to be a key people management priority. The system integrates both performance management and career development within the annual business planning process. Agreed Performance Statements and Career Development Agreements are used to translate corporate priorities, values and behaviours to the workplace and provide clarity about role and responsibility expectations at the individual level. Regular and ongoing feedback is a key feature of the system. It is provided both informally and formally, at least twice each year.

The department’s career development process links performance agreements to the identification of skills people need to perform effectively in their current and future positions. It is linked to other development strategies such as our Manager one Removed programme that promotes discussion between a senior employee and their manager’s manager. The career development process also includes Multi Source Feedback for our senior managers. This is where people receive feedback from a range of other people including their supervisor, peers and subordinates. These strategies aim to identify, develop and retain future leaders. They are important mechanisms for communicating decisions about succession planning and workforce planning across the department.

All senior executives signed a new Leadership Protocol developed by departmental senior executives at our annual Senior Executive Service Conference. The Protocol will form the basis of half of a senior executive’s performance assessment by articulating and measuring how well senior executives ‘lead with integrity’; ‘act collaboratively’; ‘foster a fair and rewarding workplace’; and ‘anticipate opportunities and encourage creativity’.

Workforce planning

The department undertakes systematic workforce planning every year. It aims to forecast future workforce needs and capabilities at both the corporate and local level. The process is embedded in the annual business planning cycle. Business plans incorporate a section that identifies emerging workforce capability issues and proposes strategies for the coming year.

In July 2001 the first formal workforce planning process was completed resulting in a final report being presented to the Corporate Leadership Group. The development of this report involved consultation across the department. People Management Branch facilitated discussions with line areas and collated issues of relevance across the department. From this process, People Management Branch identified a number of key priority areas and developed strategies to meet these needs.

Corporate strategies that were initiated based on these needs included:

Workforce planning for 2002-03 began in June 2002 and was characterised by stronger links to the business planning cycle. A key aspect is forecasting skill demands in both the short and longer term. The forecasts are based on possible scenarios and analysis of the characteristics of the existing workforce. Within individual business plans, each Group identified any skills gaps and possible strategies to overcome them. People Management Branch again facilitated the process and will draw together issues and strategies of corporate relevance.

Staff Turnover and Retention

At 30 June 2002, the Department of Education, Science and Training had 1522 staff. This compares with 1469 at 30 June 2001. As a result of the Administrative Arrangements Order changes during the year, 54 staff transferred to the Department of Family and Community Services with the youth function in December 2001 and 77 staff transferred into the department with the science function in January 2002. Excluding those staff affected by the Administrative Arrangements Order changes, a total of 347 people separated from the department between 1 July 2001 and 30 June 2002. Of these, 142 were non-ongoing employees who ceased engagement during the year, 70 transferred to another agency, six retired and 129 left for a variety of other reasons. Table 23 identifies separations by level.

Table 23: Number of staff by classification level who left the Department of Education, Science and Training 2001-02.

Source: Departmental Statistics.

Further statistics on staffing can be found in Appendix 1.

Section 2 – Learning and development

Learning and Development Strategy

The department has in place a Learning and Development Strategy 2002. The strategy aims to provide people with learning and development activities that enhance both their individual potential and the department’s organisational performance. The Learning and Development Strategy 2002 was launched on 7 March 2002. It provides a focus for implementing learning and development and leadership activities in areas defined through workforce planning discussions across the department.

The Learning and Development Strategy 2002 also recognises the importance of tailored and relevant development recorded in Career Development Agreements and determined through performance management feedback discussions. These discussions include, among other feedback, the Manager one Removed career development discussions where a senior officer meets with their manager’s manager. This commitment to individual career development supports our strategic people management agenda of developing the workforce we need both now and in the future.

A key initiative introduced in the Learning and Development Strategy 2002 is the department’s leadership programme Leadership Imperative For Tomorrow which aims to further develop high potential Executive Level 1 people who aspire to be our senior departmental leaders of the future. The programme involves a combination of workshops and work placements supported by Senior Executive mentoring.

In addition, our senior managers continue to participate in externally coordinated development programmes. These programmes include the Senior Women in Management Programme arranged by the Australian Public Service Commission, sponsorship of two Executive Level 2 people as part of the Strategic Management Learning Consortium through the Australian National University and participation of high potential Executive Level 2 people in the Australian Public Service Commission Career Development Assessment Centres. Programmes such as these are important to help identify and address development needs of future leaders.

The Learning and Development Strategy 2002 provides a variety of other learning and development options related to our organisational capabilities. The options include access to our Corporate Learning Priorities that have been identified by the Executive as important to all our staff and fundamental to the department achieving its business outcomes. Major priorities include contract management, project management, policy development and cultural awareness. New priorities currently being developed include creativity and innovation, people skills and writing skills.

Yarrangi

Approximately 10 per cent of our people identify as Indigenous Australians. The department is committed to attracting, developing and retaining Indigenous Australians through Yarrangi, the department’s current Indigenous Australian recruitment and career development strategy. Yarrangi is driven by a steering committee consisting of Indigenous Australian representatives from each State and Territory Office and National Office, and chaired by the Group Manager of the Corporate Strategy Group. The Yarrangi Steering Committee also has a role in identifying new issues affecting Indigenous Australian people in the department and working with the department’s senior managers to develop strategies to address these issues. During 2001-02, the Committee has concentrated on career development and support through local level activities.

Graduates

The Graduate Development Programme incorporates a considerable investment in learning and development for graduates. They are selected on the basis of their potential to contribute significantly to the achievement of departmental goals and business outcomes. In 2002, the department recruited 23 graduates. Of these graduates, 22 are based in Canberra and one in Sydney. Graduates undertake a series of workshops as part of the Australian Public Service Commission Graduate Series to complement their on-the-job learning. Departmental mentors are a key aspect of providing support and guidance to graduates.

Apprentices

Three New Apprentices successfully completed the 12-month pilot New Apprentices Programme undertaken by the department in 2001. The number in the programme in 2002 has grown to seven. The programme allows people to combine paid practical work with structured training leading to the nationally recognised qualification of Public Services Training Package – Certificate III in Government. The recruitment of New Apprentices by the department supports this important initiative and helps to grow our own talent. It also complements our other entry-level Indigenous cadet and graduate recruitment programmes.

Indigenous Cadetships

In 2002, we recruited two people through the National Indigenous Cadetship Programme to make a total of four cadets within the department. Three of these are located in National Office, and one is based in New South Wales. It is expected that one cadet will complete the programme in December 2002. The recruitment process for the next intake will commence shortly. The department supports this programme as a way of increasing representation of Indigenous Australians in the Australian Public Service. It provides an opportunity for people to undertake full-time study to complete their undergraduate degree with guaranteed employment on successful completion.

Indigenous Study Awards

In 2002, the department offered tertiary preparation awards to two Indigenous Australians. A further two people are currently undertaking a study award and are due to complete their degrees at the end of 2002. Nominations for the next round of awards will begin shortly. The department fully supports and encourages Indigenous Australians to nominate for these awards. The awards enhance employees’ career prospects by providing an opportunity to undertake study to prepare for a tertiary qualification or gain qualifications through full-time tertiary study.

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Section 3 – Impact and features of the Certified Agreement and Australian Workplace Agreements

The department’s focus during 2001-02 in relation to the Certified Agreement was twofold. Firstly, to finalise the implementation of the initiatives contained in the current Agreement and secondly, to begin the development of the 2002 Agreement.

New Australian Workplace Agreements were offered to all Senior Executive staff, to replace the existing agreements, which expired on 30 June 2002.

Certified Agreement

The department’s current Certified Agreement has a nominal expiry date of 30 September 2002. The concentration has been on embedding the terms and conditions while continuing to focus on performance management.

The communication strategy for the development of the new Certified Agreement facilitates open, direct and inclusive consultation with employees. A comprehensive Certified Agreement Intranet site has been established, including a mailbox facility and a ‘Frequently Asked Questions’ page. Extensive consultation with employees is being undertaken to determine the key issues for the new Agreement. Discussion groups have been held across the department to encourage people to express their views about the issues that should be considered in the development of a new Agreement. The consultation process will continue into the new financial year with a series of focus groups to further explore key issues, prior to the formal negotiation phase.

Australian Workplace Agreements

The key features of Australian Workplace Agreements offered in the department are provisions that target improved performance and the retention of employees with key skills. At 30 June 2002, the Department had 33 Senior Executive Australian Workplace Agreements and 208 non-Senior Executive Australian Workplace Agreements in place.

At the Senior Executive level, Australian Workplace Agreements provide for employment and remuneration arrangements, including access to bonuses based on personal capabilities and performance. New Australian Workplace Agreements were developed in consultation with Senior Executives and offered to all SES employees in June. Features of the new agreements include remuneration increases based on individual and organisational performance; and performance pay split between leadership and business outcomes.

For non-Senior Executive employees, Australian Workplace Agreements may provide access to targeted retention arrangements based on individual capabilities and performance. Agreements may also provide access to performance pay at the Executive Level 2 classification.

The Department’s graduates are offered an Australian Workplace Agreement that provides for accelerated advancement based on performance and continuing development after the completion of the graduate year.

Table 24: Department of Education, Science and Training salary ranges by level.

Source: Departmental Statistics.

Performance Pay

A total of 35 Senior Executive employees qualified for performance pay in the 2000-01 financial year. Payments were made in the 2001-02 financial year and totalled $319 095. This was made up by $218 174 for SES Band 1 and $100 921 for SES Band 2 and 3. Actual payments ranged between five per cent and 15 per cent of base salary.

The percentage paid to each employee is determined by an assessment of their performance in relation to their delivery of business outputs and outcomes, demonstration of departmental organisational values and leadership behaviours, and contribution to corporate activities.

In 2001-02, 120 Executive Level 2 staff received performance pay for the 2000-01 financial year. Payments were made in the 2001-02 financial year and totalled $722 681. Actual payments ranged between five per cent and 15 per cent of base salary.

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Section 4 – Occupational Health and Safety

A safe and healthy workplace is a fundamental requirement to achieving a good working environment. This is reflected in our People Management Improvement Plan and more specifically in our Occupational Health and Safety Plan. Our proactive management of occupational health and safety issues supports a preventative environment that is healthy and safe.

The department’s revised compensation premium was one per cent of wages and salaries for 2001-02. This is the average compensation premium for Comcare-insured agencies.

The department conducted an internal Occupational Health and Safety Management System Audit in May 2002. An external occupational health and safety audit expert was engaged to conduct the audit based on the Victorian WorkCover Authority SafetyMap Audit programme, which also forms the basis of Comcare initiated audits. Audits were conducted at six randomly selected sites, four in National Office, one at a State Office and one at a District Office. The outcomes of the audit will be considered in the identification of occupational health and safety priorities for 2002-03.

Further details on occupational health and safety are in Appendix 2.

Section 5 – Commonwealth Disability Strategy

This is the second year of reporting against the revised Commonwealth Disability Strategy. In accordance with advice from the Department of Family and Community Services, we are reporting according to our main functions, policy adviser, employer, purchaser and provider. Consequently, the regulator role has not been reported. Last year, baseline data was sought from divisions and branches according to their main function. This provided an initial picture of where the department had already included facilities and services for people with disabilities and where further development needed to occur. Details of progress can be found in Appendix 8. For information about programmes designed to support people with disabilities, refer to the relevant chapters in this report, particularly Chapters 4, 5 and 6.

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