High performing Job Services Australia providers rewarded for achieving higher outcomes for job seekers. Today the Australian Government announces the outcomes of the recent Business Review process.
As part of the 2011 Budget, the Australian Government announced higher performing Job Services Australia providers would have their contracts extended for three years from 1 July 2012. Contract extensions will be offered to those achieving outcomes for job seekers that support a star rating of 3, 4 and 5 stars. Those providers with star ratings of 1 and 2 stars were subject to Business Review and possible reallocation of job seekers. Business not reallocated will be put to an open tender process.
An industry paper released in June 2011 outlined the full procurement process for the next term of Job Services Australia and included the Business Review Principles underpinning reallocation or market testing of contracted business.
As part of the Business Review process, providers were given the opportunity to put forward details of extenuating circumstances that had impacted their performance across the 28 months of service delivery. Extenuating circumstances were defined as events or circumstances outside of the control of a provider that directly impacted the performance and capacity to obtain employment outcomes or retain job seekers in placements.
Detailed consideration was given to each provider that fell within the scope of the Business Review. The Business Review was conducted by senior staff from the Department of Education, Employment and Workplace Relations’ National Office and senior managers from States and Territories with local expertise and knowledge. The Business Review evaluated each of the in scope providers against the Business Review Principles and the provider’s past performance across the life of the current contract.
An independent external Probity Adviser, the law firm Blake Dawson, was engaged to oversight the Business Review process.
Ninety per cent of the contracted providers assisting 94 per cent of job seekers were rated as 3 star or better and those organisations will be offered an extension of their contract for a further three years.
The announcement of the Business Review outcomes achieves the second milestone foreshadowed in the industry paper.
The outcomes of the Business Review process will take effect from 1 July 2012. These are detailed below.