The yawning gap between public and private wages for workers in software, IT and computer engineering areas will pose a major problem as the federal government seeks to fulfil its promise of growing the public sector.
In its 2024-25 pre-budget submission, Professionals Australia found that the public sector risked being caught in the "slow lane of a two-speed industry".
Reported pay rises were 2 per cent in the Australian Public Service compared with 5 to 7 percent in other tech roles, the union reported.
Medium base rates of pay of between $71,000 to $152,000 were being offered in the APS compared with between $110,000 to $187,000, plus stock options worth about $100k, "which is now typical in new tech companies".
One of the sticking points to tech recruitment in the APS was identified as the 11.2 per cent salary cap increase over three years, as set by the Australian Public Service Commission.
The union also urged swift action and investment to address science, technology, engineering and mathematics skill shortages in public sector agencies by removing average staffing level caps in public service agencies.
"Unfortunately STEM skill shortages threaten to derail the delivery of major infrastructure projects, the transition to green energy and digital transformation," the report said.
Professionals Australia's government director Kathleen Studdert said that for the APS to build its STEM capability it needed to become competitive in a market for technical and engineering talent.
"There is a benefit to doing meaningful, impactful work in the public sector that can and will attract talented and ambitious people," she said.
"Setting up a technical and engineering remuneration framework is a crucial first step to this.
"In some cases the total remuneration gap is six figures between public and private sector employers. It doesn't necessarily need to be dollar for dollar, but it needs to be in the same ballpark."
PA members work in both the private and public sectors and its ranks include engineers, scientists, pharmacists, IT professionals, translators and interpreters.
In spruiking the May budget, Public Service Minister Katy Gallagher said the public sector had grown by 10,000 people in the past year.
And that public sector growth will continue in the next financial year. Social Services will grow by 3472 roles in the next financial year - largely spread across Services Australia and the National Disability Insurance Agency - while Treasury's growth is predominantly linked to a 1771 increase to staffing in the Tax Office.
The PA submission identified two key safety agencies, the Civil Aviation Safety Authority and Australian Transport Safety Bureau, as experiencing significant technical staff shortages and budgetary constraints, "undermining their capacity to maintain the integrity of Australia's transport safety regulatory regime".
For instance, more than eight months on from the horrific Gundaroo plane crash in which a pilot and three children were killed, the ATSB is yet to issue its final report and potentially explain why an emergency parachute in the Cirrus aircraft failed to deploy.
"Unfortunately, the ATSB's workforce has seen significant turnover over the last seven years, and rising demand in each of the sectors the bureau manages (rail, aviation and marine) coupled with budget shortfalls has meant the capacity of the bureau to undertake investigations has been reduced," it said.
The PA submission also found women were still seriously underrepresented in tech fields, especially engineering and IT.
"In addition, workplace outcomes for women in STEM remained unequal. The STEM Equity Monitor revealed that in 2022 the gender pay gap in all STEM industries was 17 per cent," it reported.
