What does future leadership look like in the Public Sector?
Leadership in the Australian public sector will be increasingly defined by a commitment to digital transformation, agility, and sustainability. At the Commonwealth level, leaders will focus on integrating advanced technologies such as artificial intelligence (AI) and data analytics to enhance decision-making and improve the efficiency of public services. This shift is crucial for addressing complex national issues like cybersecurity, climate change, and public health. Commonwealth leaders will also prioritise the ethical development and regulation of AI, ensuring that innovation is balanced with robust protections for citizens’ rights.
At the state level, leaders will adopt iterative and collaborative policy-making processes, allowing for more responsive and adaptive governance. This approach is particularly important as states tackle challenges such as urbanisation, transportation, and public health emergencies. Local government leaders will prioritise community engagement and sustainability initiatives, such as promoting renewable energy and adopting circular economy principles, to create resilient and environmentally responsible communities.
Public Sector employment
As of the last financial year, the Australian public sector employed approximately 2.43 million people. This includes a significant number of employees across Commonwealth, state, and local government levels, reflecting the public sector's critical role in employment (ABS, 2024).
Increase in customer experience skills
As part of the 2023-24 May Budget, the Australian Government announced $101.2 million to support businesses to integrate quantum and artificial intelligence technologies into their operations.
Increase in public sector customer experience
The Deloitte Government Trends 2024 Report for Australia talks about a renaissance in government, driven in part by AI, that can potentially offer a tenfold improvement in operations and service delivery, known as 10x government (Deloitte, 2024).
Wage growth in the Public Sector
Public sector wages in Australia saw an annual increase of 3.9% in 2024, contributing 25% of overall wage growth in the economy. This rise is notably higher than the private sector's contribution, highlighting the impact of government wage policies and headcount increases across various public services (KPMG, 2024).