Department of the Legislative Assembly, Northern Territory Government

Ms MARTIN - 1999-11-24

As well as adopting a policy of outsourcing legal services in 1997, the Country Liberals also made individual agencies financially responsible for their own legal costs. Government outlays on legal expenses more than doubled in 1998-99, escalating by almost $9m for those agencies, and not all agencies have reported to date. Will the Treasurer explain to the House and to Territorians how this is prudent financial management?

ANSWER

Mr Speaker, we live in a jurisdiction that has the strongest economic growth in the country, the lowest unemployment, the greatest opportunities for people to get a job. One of the reasons for that is that this government supports general activity in the private sector, because that’s the engine room of the economy. Governments spend money, but they don’t drive the economy. They should support the economy by facilitating growth in the private sector, because it’s the private sector that’s going to make this Territory and this economy continue to grow, not the government.

The government has very pro-actively pursued the policy of outsourcing and we’re proud of it.

Ms Martin interjecting.

Mr REED: Well, you’ve asked the question. If you just keep the little simplistic murmurings to yourself, we’ll get on with answering it.

Members interjecting.

Mr REED: If members would stop interjecting, I would be happy to provide them with the answer to the question. Don’t be so rude, interrupting an answer to your boss’s question. Show a bit of commitment to your boss.

A member interjecting.

Mr SPEAKER: Order! There is far too much interjection. I would appreciate being able to hear the minister’s answer in reasonable silence.

Mr REED: The outsourcing of legal work is but one area of outsourcing that the government has pursued. It’s a good example, in fact, of work being provided to the private sector and government agencies having the opportunity to get a broader range of legal advice. We are able to see the legal sector in the Northern Territory grow because of the additional business that they’re getting, rather than government directly operating its own legal service. And with a stronger, bigger, better private legal system we will in the future as a community see the benefits flow ...

Mr Stirling: At twice the cost of in-house.

Mr REED: They can’t understand it. It’s really a waste of time trying to explain.

Not only the government but also the private sector, the expanding commercial and industrial areas of the community, will be able to avail themselves of better, more efficient, more competent and more general legal advice than they otherwise would have if the government had kept that resource to itself. It’s a benefit to the whole community.

Mr Toyne: What about the cost blow-out?

Mr REED: Oh, ‘blow-out’! I wish you’d blow up. As for of additional costs ...

Ms Martin interjecting.

Mr REED: No, it’s not our money. It’s the people’s money. We don’t say it’s our money. It’s Territorians’ money. If your feeble minds can relate to it, agencies perhaps have more issues than they did last year on which they have to seek legal advice. If they have to get into court actions and the like, they do incur a cost. If there is a higher level of activity, they incur a higher cost. But with outsourcing, just as we’re doing it with information technology and in other areas of government, if we can grow the private sector, if we can get more people employed in the private sector, if we can generate more jobs for Territorians in the private sector, if we can have better private sector services for the whole of the community to use as well as government, we have to be on a winner as a community.
Last updated: 09 Aug 2016