List of recommendations

Recommendation 1

2.36

As previously recommended by the Senate Environment and Communications Legislation Committee, the committee recommends that Australia Post provide regular training and support to senior staff and Board members to ensure they can better meet their responsibilities to the Senate and its committees through understanding Senate procedures.

Recommendation 2

5.103

The committee recommends that the Australian Government strengthen the Performance Bonus Review (the Review) into Commonwealth entities by consulting with a wider selection of stakeholders and canvassing public opinion. The Review should seek to reform the way bonuses are used by Commonwealth entities to ensure the remuneration practices of these entities meet public expectations and conform to the Public Governance, Performance and Accountability Act 2013.

Recommendation 3

5.109

The committee recommends that the Australian Government conduct a review into the expenditure of corporate Commonwealth entities focussing on incentive payments, rewards, gifts and other discretionary expenditure, including short and long term incentives and other payments to highly paid staff, to ensure they meet public expectations and conform to the requirements of Public Governance, Performance and Accountability
Act 2013.

Recommendation 4

6.118

The committee notes the advice provided by the Senate Standing Committee for the Scrutiny of Delegated Legislation that there was no formal direction issued under section 49 of the Australian Postal Corporation Act 1989. As such, the committee recommends that the Australian Government refer the actions of the Minister for Communications, the Hon Paul Fletcher MP, on 22 October 2020—in particular his "instruction" to the Australia Post Board that it stand Ms Holgate aside—to the Auditor-General for investigation, including into any breaches of relevant legislation and policies of Australia Post.

Recommendation 5

6.157

The committee recommends that the Australia Post Board and Shareholder Ministers and the Prime Minister apologise to Ms Holgate for denying her the legal principles of procedural fairness and natural justice in her departure from Australia Post.

Recommendation 6

6.158

The committee recommends that the Solicitor-General investigate the legality of the instruction from Shareholder Ministers to the Australia Post Board on 22 October 2020 that the Board should stand Ms Holgate aside while an investigation takes place into the purchase of the watches.

The instruction should be investigated in relation to the provisions of the Australian Postal Corporation Act 1989, in particular sections 49, 50 and 84, and any relevant sections of the Public Governance, Performance and Accountability Act 2013.

Recommendation 7

6.159

The committee recommends that the government re-set the relationship between the Shareholder and Australia Post, clarify the proper role of the Shareholder, and restore an appropriate level of independence to the Board.

Recommendation 8

8.63

The committee recommends that the Australia Post Board be restructured to ensure that its makeup is consistent with the original intent of the Australian Postal Corporation Act 1989, and so that it functions properly as a public enterprise. A restructured board should include nominees of:

the House of Representatives;

the Senate;

the employees and unions; and

the licensees.

Recommendation 9

8.64

The committee recommends that the Australian National Audit Office conduct an audit—of a similar type to the audit conducted into the governance of the Australian Broadcasting Corporation in 2002—into Australia Post's corporate governance arrangements, including its relationship with government, to identify areas in which its governance structures and processes are in need of reform. The audit should also include a review of Australia Post's post-separation arrangements.

Recommendation 10

8.65

The committee recommends that Australia Post, in its annual report, detail the findings of any Board evaluations and actions that the Board might have taken to improve its performance, processes, policies, skillset and composition throughout the year.

Recommendation 11

8.66

The committee recommends that the Australian Government ensure it duly considers the advice from Government Business Enterprise boards related to skills gaps and prospective appointees, and acts upon this advice as far as appropriate when appointing new board members.

Recommendation 12

8.67

The committee recommends that the Department of Finance review the Government Business Enterprise guidelines with a view to ensuring ministerial appointees to Government Business Enterprises are more diverse and more representative of a broader range of skills and experience.

Recommendation 13

8.68

The committee recommends that the Chair of Australia Post resign in acceptance of his responsibility for the organisation's failings with respect to the Holgate matter, the veracity of his evidence provided to the committee, his capacity to defend the independence of Australia Post and the lack of effective robust policies and financial oversight processes in place throughout his tenure.

Recommendation 14

9.106

The committee recommends that the Australian Government consider requiring authorised deposit-taking institutions (ADIs) to allow Australia Post to process basic banking transactions for their customers as a condition of their licence; and that fees be levied on ADIs that are sufficient to cover the cost to post offices of providing this service.

Recommendation 15

9.121

The committee recommends that Australia Post establish an Innovation Council formed on a tripartite basis that brings government, business and unions together to build a strong, productive and competitive public postal service with stronger community service obligations.

Recommendation 16

9.131

The committee recommends that the Australian Government immediately release the Boston Consulting Group Review of Australia Post's Financial Sustainability.

Recommendation 17

9.132

The committee recommends that the Australian Government expressly rule out privatising or divesting of Australia Post, or any of its services, including parcels.

Recommendation 18

9.133

The committee recommends that Australia Post review its procurement principles and seek to incorporate sections of the Commonwealth Procurement Rules into these principles, particularly relating to local content of purchases.

Recommendation 19

9.137

The committee recommends that the Australian Government bring forward amendments to the Australian Postal Corporation Act 1989 and associated regulations, to incorporate parcel-related benchmarks in Australia Post's community service obligations and performance standards, to ensure parcel services are affordable and equitable for all Australians, and that parcel delivery remains a core element of Australia Post's services. In developing these amendments and associated regulations, the committee recommends that the government and Australia Post consult a wide range of stakeholders, such as business, employees and their representatives, and interested communities, including those representing regional and rural Australia.

Recommendation 20

9.145

The committee recommends that:

the Australian Government publicly release the reports or final findings of the Boston Consulting Group relating to the ongoing impact of COVID-19 on Australia Post's business, including any evaluation of the efficacy of the temporary regulatory relief; and

Australia Post release the findings of the McKinsey report into the development of forward-looking delivery network strategies and plans for Australia Post.

Recommendation 21

9.146

The committee recommends that the Senate oppose any extension to the temporary regulations now in force.

Recommendation 22

9.147

The committee recommends that the Australian Government consult widely and extensively on any proposed continuation of the current temporary regulations or introduction of any future regulatory changes, including with post users, businesses, licensees, and employees, contractors and their representatives.

Recommendation 23

10.49

The committee recommends that the Australian Government work with Australia Post, licensees, employees, contractor and worker representative organisations, and other stakeholders, to explore new ways to support the network of licensed post offices around Australia to benefit communities, particularly rural and regional communities.

Recommendation 24

10.50

The committee recommends that the Australian Government consider excluding regional capitals with a population of over 100 000 from the definition of 'metropolitan' in the regulatory relief and Alternative Delivery Model, should these regulations be extended.

Recommendation 25

10.56

The committee recommends that Australia Post improve its consultation arrangements with regional, rural and remote communities across Australia in the development of future policies and implementation plans.

| Contents |