The federal government is trying to cut its spending as a growth in wages is putting pressure on the national budget.
Above-inflation pay rises and a surge in workers’ compensation expenses caused significant blowouts in public service budgets last year.
Services Australia recorded a $235 million increase in its wages bill.
The Department of Climate Change, Energy, the Environment, and Water is also recording a $70 million blowout in wages.
Financial reports released over the past week show agencies are struggling to contain employee costs, forcing them to make sweeping cuts in other areas.
