2.1
Senate Standing Order 25(20)(b) provides for the committee to consider selected reports in more detail. Annual reports of the following entities were selected for this report:
Indigenous Land and Sea Corporation
Workplace Gender Equality Agency
Central Land Council
2.2
The Central Land Council (CLC) is a Corporate Commonwealth Entity enabled by the Aboriginal Land Rights (Northern Territory) Act 1976 (ALRA Act), the Native Title Act 1993 and the Public Governance, Performance and Accountability Act 2013 (PGPA Act), as part of the Department of the Prime Minister and Cabinet (PM&C) portfolio. In 2019–20, the CLC reported to the Minister for Indigenous Australians, the Hon Ken Wyatt AM MP.
2.3
The CLC is one of four Northern Territory land councils operating under the Aboriginal Land Rights (Northern Territory) Act 1976, and it consults with Aboriginal landholders on mining, land management, tourism, employment and other development proposals for land.
2.4
The CLC’s purpose is stated in its corporate plan:
To promote and support Central Australian Aboriginal people’s society, country, secured rights, culture and economy to deliver a promising future.
Compliance
2.5
The CLC’s 2019-20 annual report was submitted to the Minister for Indigenous Australians, Hon Ken Wyatt, on 7 October 2020 and tabled on 12 November 2020 in the House of Representatives.
2.6
The annual report was prepared in accordance with the purposes of section 46 of the PGPA Act. The committee found the CLC’s annual report to be compliant with the majority of its reporting requirements. However, the committee notes the following matters for the CLC to take into consideration when preparing future annual reports.
2.7
Section 17BE of the Public Governance, Performance and Accountability Rule 2014 (PGPA Rule) specifies information which is required to be presented in the annual reports of corporate Commonwealth entities.
2.8
Subsection 17BE(u) requires corporate commonwealth entities to include a list of requirements, detailing what must be included in their annual reports. The CLC included the majority but not all of requirements in its compliance table. Subsection 17BE(ka) which requires information regarding an entities employment statistics was not included the CLC’s compliance index, although the relevant information was found on page 106.
2.9
In addition, the requirements of the PGPA Rule under sections 17BE(s) and 17BE(taa) were not included in the compliance index.
2.10
The committee highlights its preference that in circumstances where requirements are not applicable to entities, that they are still included in the table with this noted for clarity.
Performance
2.11
The CLC prepared annual performance statements in accordance with section 16F and subsection 17BE(g) of the PGPA Rule as well as paragraph 39(1)(b) of the PGPA Act. The CLC’s key organisational achievements are described in the respective output chapters of the annual report, and in the summary set out below:
working with traditional owners to manage their land and resources, protect sacred sites and foster economic development (Outputs 1.2, 3.1, 3.2, 3.3, 3.4 and 4.3)
pursuing traditional owners’ native title interests (Output 6)
supporting traditional owners and other constituents to realise their aspirations for community development (Output 4.4)
negotiating commercial agreements with parties interested in using Aboriginal land and managing income arising from land use agreements (Output 3.4)
representing the land interests and aspirations of Aboriginal people in Central Australia (Output 3.1)
managing community-based ranger groups to deliver a range of land management services (Output 3.2).
2.12
The CLC monitors its performance using metric dashboards, with each dashboard including measures categorised by the CLC’s eight strategic goals. The dashboards include a history of performance, the corporate plan target, and a forecast for the following financial years.
2.13
The committee notes that each of the topics within the strategic goal directly correlates to the CLC Corporate Plan 2020-2024, which made the performance of the organisation clear to track and assess.
2.14
Below some of the annual outcomes of the CLC are considered in further detail.
Rights, land and land use
2.15
During the 2019-20 reporting period the CLC set targets regarding the successful communication of its advocacy activities to Aboriginal constituents and key stakeholders. The CLC’s webpage was accessed by constituents and stakeholder a total of 109,000 times throughout 2019-20.
2.16
CLC’s annual report notes that it works towards the recognition of Aboriginal constituents’ interests in land by successfully negotiating and obtaining land rights and native title determinations. A target of two was set for finalised land claims; but none were achieved for the reporting period. A target of 423,378km2 was set for land ownership achieved with 418,548km2 acquired. During 2019-20, the CLC aimed to hold 60 post-determination native title meetings and consultations, with 40 meetings held during the year.
2.17
The CLC also undertook to provide 455 instances of anthropological advice to determine relevant traditional owners, and this was exceeded with an actual number of 624 achieved. The CLC also finalised one native title claim (where a consent determination was handed down), against a target of two claims.
2.18
CLC also coordinates post land and native title claim negotiation and administration. A target of 8,249 was set for permits issued to access Aboriginal land, and this was exceeded with an actual number of 8,305. During 2019-20 the CLC also completed the negotiation and registration of a non-mining Indigenous land use agreement. In terms of land use, the CLC undertook activities which culled a total of 2,992 feral animals (against a target of 2,000).
2.19
During the 2019-20 reporting period the CLC met targets for the employment of full time rangers and the awarding of ranger program training certificates. The CLC’s target was to have 75 full time equivalent rangers employed; they met this target with an actual number of 76. The CLC also issued 19 ranger program training certificates, against a target of 16.
Culture
2.20
The CLC set targets for activities to protect Aboriginal land and culturally significant sites, as well as to maintain Aboriginal cultural heritage and languages. This was to be achieved by supporting traditional Aboriginal ceremonies and funeral customs, along with the development of heritage management plans.
2.21
During the 2019-20 reporting period, the CLC achieved the following results against its cultural strategic targets:
172 instances of sacred site clearance certificates and other advice (against a target of 120);
two cultural heritage management plans and projects either completed, progressed, or supported (against a target of 31);
the funding of regional payments for ceremonial activity, totalling $154,365; and
assistance provided to 326 funerals, with funeral payments totalling $329,553.
Other strategic goals and performance criteria
2.22
The CLC has a number of other performance criteria against which it assesses its annual performance. For example, the CLC strives to take action to ‘support the development of strong communities and outstations’. The CLC also supports the economic development of Aboriginal land and the ‘effective management of income derived from the use of the land’. In addition, the CLC pursues and negotiates ‘employment opportunities derived from the use of the land’.
2.23
According to its annual report, the CLC holds governance meetings to administer the requirements of the ALRA and Native Title Acts, and to provide council member with regular cultural engagement opportunities. During 2019-20, the CLC held two council meetings, and nine executive committee meetings (against an annual target of 8).
Financial statements
2.24
The CLC annual report included financial statements, which were prepared as required by section 42 of the PGPA Act, and in accordance with section 17AD of the PGPA Rule. The statements received an unqualified assurance report from the Australian National Audit Office (ANAO).
2.25
The committee considers that the financial statements comply with the requirements set out in the Commonwealth entities financial statements guide: Resource Management Guide No. 125.
2.26
In presenting its financial statements, the CLC noted the impact of the pandemic on its performance. CLC advised that its remote operations were:
…significantly impacted by the Covid-19 pandemic. The Commonwealth Health Minister established bio-security boundaries throughout the Northern Territory locking down all remote aboriginal communities. Travel into these restricted zones was restricted to essential services, much of the work CLC does in these communities did not qualify as essential.
2.27
For 2019-20, the CLC received $23.5 million in funding through the Aboriginals Benefit Account, which contributed to total revenue of $52.4 million. Total operating expenses were $46.2 million, with capital expenditure of $3.7 million.
2.28
The CLC’s surplus for the financial year ending 30 June 2020 was $6.283 million, an increase from the prior year’s surplus of $0.503 million. The CLC noted that this ‘significant improvement was solely attributable to COVID-19’, and largely as a result of the receipt of $4 million from the Minister, for projects to support remote communities. The CLC advised that:
As at 30 June, the overwhelming majority of the projects had been committed and were in progress. However, by the end of the financial year, most projects were incomplete and payments had not been made. The program will be fully-expended in 2020-21.
2.29
CLC expenditure during 2019-20 was against the following categories:
natural resource management ($11 million);
economic development and commercial services ($9.8 million); and
advocacy and community development ($9 million).
2.30
CLC’s annual report delivered a useful overview of the agencies financial performance during the 2019-20 reporting period. It provided a comprehensive commentary of its financial results, which assisted the committee’s assessment.
Committee view
2.31
The committee found the Central Land Council’s annual report to be well presented and informative. For the purposes of its report to the Senate, the committee considers the annual report to be ‘apparently satisfactory’.
Indigenous Land and Sea Corporation
2.32
The Indigenous Land and Sea Corporation (ILSC) is a corporate Commonwealth entity operating under the Aboriginal and Torres Strait Islander Act 2005 (ATSI Act). In 2019 the Indigenous Land Council (ILC) became the Indigenous Land and Sea Corporation with the Aboriginal and Torres Strait Islander Amendment (Indigenous Land Corporation) Act 2018, expanding the corporation’s remit to include water-based interests.
2.33
The ILSC is part of the Department of the Prime Minister and Cabinet (PM&C) portfolio. In 2019–20, the ILSC reported to the Minister for Indigenous Australians, the Hon Ken Wyatt AM MP.
2.34
The ILSC’s purpose is stated in its Corporate Plan 2020-21, and detailed in its annual report. Under the ATSI Act, ILSC is required to assist Aboriginal persons and Torres Strait Islanders to acquire land and water-based rights, and to manage Indigenous-held land and Indigenous water, to:
… provide economic, environmental, social or cultural benefits for Aboriginal persons and Torres Strait Islanders.
2.35
One of the subsidiaries of the ILSC, which operates commercially, is Voyages Indigenous Tourism Australia Pty Ltd. Voyages owns and manages the Ayers Rock Resort in the Northern Territory.
Compliance
2.36
The ILSC 2019-20 annual report was submitted to the Minister on 1 October 2020. The report was tabled in the House of Representatives on 7 December 2020.
2.37
The annual report was prepared in accordance with section 46 of the PGPA Act. The committee found the ILSC’s annual report to be compliant with its reporting requirements.
Contents of the annual report
2.38
Section 17BE of the PGPA Rule specifies information which is required to be presented in the annual reports of corporate Commonwealth entities.
2.39
Subsection 17BE(u) requires corporate Commonwealth entities to include a list of requirements table in their annual reports. The ILSC’s 2019-20 annual report compliance index notes that the requirements of the PGPA Rule have been addressed.
Performance
2.40
The ILSC prepared annual performance statements in accordance with section 16F of the PGPA Rule as well as paragraph 39(1)(b) of the PGPA Act.
2.41
During 2019-20, the ILSC had one outcome in the Budget Statement, being:
Enhanced socio-economic development, maintenance of cultural identity and protection of the environment by Indigenous Australians through the acquisition and management of land, water and water-related rights.
2.42
The ILSC are working towards four main outcomes as set out in its corporate plan. Titled the ‘four pathways to change’, the outcomes provide that:
Indigenous people are growing the value and productivity of country (Outcome 1);
Indigenous people are owning and managing country sustainably (Outcome 2);
Indigenous people are preserving and protecting culture through reconnection with country (Outcome 3); and
Indigenous people are driving and influencing policy and opportunity for country (Outcome 4).
2.43
The ILSC’s operations are delivered via three main mechanisms:
(i)
the Our Country Our Future funding program, which ‘enables the development and delivery of new land and water acquisition and management projects with Indigenous groups’;
(ii)
ILSC Agribusiness investment, to help develop and grow new and existing Indigenous agribusinesses; and
(iii)
subsidiaries, which are ‘specifically structured and geared to generate outcomes through operating commercially in industry sectors in which Indigenous peoples hold a competitive advantage’.
2.44
For the 2019-20 reporting period, the ILSC focussed on supporting five sectors of the economy, representing opportunities for Indigenous landholders. The sectors were: Conservation and Healthy Country; Urban Investment; Agribusiness; Tourism, and Niche Indigenous Products (for example, utilising Australian flora and fauna).
2.45
The following paragraphs provide some key information provided by the ILSC in its 2019-20 annual report.
Employment and training
2.46
During the 2019-20 reporting period the ILSC aimed for the direct employment of 550 Indigenous people, in line with Outcome 1. The ILSC had considerable achievement in this area, with 695 Indigenous employees directly engaged. Conversely, despite a target of 550 for enabled employment, there was a shortfall with 425 Indigenous employees engaged.
2.47
The ILSC noted the impact of COVID-19 on these results, particularly in the second half of the year. The pandemic had an impact on overall economic activity and project progress, with ‘travel restrictions and changed working arrangements affecting the ability to recruit and onboard new staff’.
2.48
The ILSC also exceeded its 2019-20 targets for Indigenous training, with 188 trainees hosted or employed by the ILSC Group, and a further 1,167 trainees engaged because of collaboration between project proponents and the ILSC.
External scrutiny
2.49
Subsection 17AG(3) of the PGPA Rule requires annual reports to include information on the most significant developments in relation to external scrutiny of the entity during the relevant reporting period, and detail the entity’s response to any such scrutiny.
2.50
The ILSC’s 2019-20 annual report advised that there were no judicial decisions, decisions of administrative tribunals, or decisions by the Australian Information Commissioner that ‘had, or may have, a significant impact on the operations of the ILSC’.
2.51
The ILSC did note, however, that it was aware that the Commonwealth Ombudsman had:
… produced one report in relation to the ILSC in this period. The report has not been made public or provided to the ILSC. No reports dealing with the ILSC have been prepared by the Auditor General or the Office of the Australian Information Commissioner.
2.52
During 2019-20, the ILSC received no requests for it to assist with the ‘full and final resolution of native title claims through alternative settlements—that is, settlements negotiated out of court under an alternative framework’ provided for in legislation other than the Native Title Act 1993.
Financial statements
2.53
The ILSC 2019-20 annual report included financial statements, which were prepared as required by section 42 of the PGPA Act, and are based on properly maintained financial records in compliance with subsection 41(2) of the PGPA Act. The statements received an unqualified assurance report from the ANAO.
2.54
The committee considers that the financial statements comply with the requirements set out in the Commonwealth entities financial statements guide: Resource Management Guide No. 125.
2.55
The ILSC is funded by the Aboriginal and Torres Strait Islander Land and Sea Future Fund (ATSILSFF), with funding released annually to the ILSC, through the ILSC Funding Special Account in accordance with ATSILSFF legislation. During 2019-20, the ILSC received $54.1 million—equivalent to the legislated annual allocation of $45 million in 2010, subjected to the Consumer Price Index.
2.56
As of 30 June 2020, the ILSC Group had $101.3 million in cash reserves and investments, a decrease from $124.4 million at the same time the prior year. The annual report advised that these funds were ‘used towards functional and operational expenditure, and well as servicing debt associated with the Ayers Rock Resort’.
2.57
The ILSC also acquires land and water-related interests for granting that interest to Aboriginal and Torres Strait Islander corporations. In addition, the ILSC holds significant livestock numbers. The ILSC’s annual report noted that:
At 30 June 2020, the ILSC held properties at a value of $162 million (excludes Ayres Rock Resort). While the ILSC holds properties, it is responsible for maintenance and statutory costs.
… At 30 June 2020, the ILSC Group held 49,805 head of livestock at a value of $31.1 million.
2.58
Further to land and water-related acquisitions, ILSC incurred travel and staff costs related to:
conducting community consultations;
managing land, water-related or other interests held by the ILSC, pending divestment;
monitoring activities related to the ILSC’s acquisition and management functions;
providing management and administrative support to commercial businesses run on ILSC-held properties; and
evaluating programs and opportunities.
2.59
Similar to the CLC, the ILSC noted the significant negative impact that COVID-19 had on its performance. The ILSC observed that during the reporting period:
… the Group’s operational performance was significantly impacted by Government travel restrictions, as a result of the COVID-19 pandemic. International borders and domestic Australian borders were closed by the Federal Government and State Government respectively restricting access to the Ayers Rock Resort which had a significant impact on the operating results for the Group for the last quarter of the period primarily through a significant reduction in occupancy at the Resort. While the impact is expected to be temporary due to the ongoing border closures and uncertainty surrounding the timings when the markets will re-open for tourism related activities, it is expected that the operating results of the Resort will be impacted for many months and the recovery period remains uncertain.
Committee view
2.60
The committee found the ILSC’s annual report to be well presented and informative. For the purposes of its report to the Senate, the committee considers the annual report to be ‘apparently satisfactory’.
Workplace Gender Equality Agency
2.61
The Workplace Gender Equality Agency (WGEA) is a non-corporate commonwealth entity within the PM&C portfolio. It is established by the Workplace Gender Equality Act 2012. In the 2019–20 reporting period, WGEA reported to the Minister for Women, Senator the Hon Marise Payne.
2.62
WGEA’s purpose is to promote and improve gender equality in Australian workplaces, including through:
… the provision of advice and assistance to employers and the assessment and measurement of workplace gender data.
2.63
In order to achieve its purpose, WGEA worked towards the following objectives:
promotion amongst employers of the elimination of discrimination on the basis of gender in relation to employment matters;
fostering of workplace consultation between employers and employees on issues concerning gender equality in employment and in the workplace;
improving the productivity and competitiveness of Australian businesses through the advancement of gender equality in employment and in the workplace; and
removing barriers to the full and equal participation of women in the workforce.
2.64
WGEA had a number of specific strategic priorities during 2019-20. Up to the year ending 30 June 2020, WGEA aimed to:
increase its impact and reach;
maximise the potential of its data; and
develop its team and advance its technology.
Compliance
2.65
The WGEA 2019-20 annual report was submitted to the Minister for Women on 30 October 2020 and tabled on 2 February 2021 in the House of Representatives and presented out of session on 11 December 2020 to the Senate.
2.66
The annual report was prepared in accordance with the Workplace Gender Equality Act 2021. The report also includes financial statements for the 2019-20 financial year as required by the PGPA Rule. The committee found WGEA’s annual report to be compliant with its reporting requirements.
Contents of the annual report
2.67
Sections 17AE and 17AG of the PGPA Rule specifies information which is required to be presented in the annual reports of non-corporate Commonwealth entities.
2.68
Subsection 17AJ(d) requires reporting entities to include a list of requirements table in their annual reports. The WGEA 2019-20 annual report lists of requirements and therefore addresses the relevant sections of the PGPA Rule.
Performance
2.69
The WGEA’s annual performance statement was prepared in accordance with the requirements in section 39(1)(a) of the PGPA Act. The performance statement accurately presents WGEA’s performance as required by section 39(2) of the PGPA Act.
2.70
WGEA’s performance criteria as stated in its annual report are as follows:
adding to the gender equality narrative and embedding the business case for gender equality;
maximising the value of the data collected through provision of targeted insights; and
creation of a fit-for-purpose data management system to enhance the collection of data.
2.71
The final point above was a high priority for the agency during 2019-20. A vendor was appointed at the end of 2019, which ‘commenced building and delivering the system in January 2020’.
2.72
Some areas of WGEA’s performance are examined in further detail below.
Data collection
2.73
Under its establishing legislation, one of the key functions of the WGEA is to develop benchmarks in relation to gender equality indicators. WGEA undertakes data collection in order to measure and report on workplace gender equality, with a key performance target being the increased use of gender data in business reporting.
2.74
In November 2019, WGEA released its sixth comprehensive workplace dataset—‘the largest dataset released by the agency to date’. The 2019-20 annual report notes that after six years of data collection:
… overall improvement [in workplace gender equality] remains modest and uneven. The data indicated that many areas are still not receiving necessary attention from employers and change is happening too slowly. It also suggested that Australian employers could be suffering from “gender equality fatigue”.
The data clearly shows that the strongest progress towards workplace gender equality is in those areas where employers have a direct influence on the outcome.
2.75
WGEA’s reporting data collected on the gender equality indicators show that:
The proportion of organisations reporting their pay equity metrics to the executive has increased by 1.8 percentage points (pp) to 31.2% and proportion of organisations reporting their pay equity measures to the board has increased by 1.2pp to 19.1% in 2018-19.
The percentage of organisations with targeted policies and/or strategies to support flexible working has increased by 2.0 pp to 72.7% in 2018-19.
Almost 50% of employers now offer primary carer’s leave to women and men - up 1.6pp to 49.4%. There was also an increase in paid secondary carer’s leave for women and men - up 2.0pp to 43.8%.
Organisations reporting a formal policy and/or strategy to support employees with family or caring responsibilities was up 2.2pp to 66.5%.
The proportion of employers offering non-leave based measures to support employees with caring responsibilities also increased – up 1.5pp to 55.2%.
Accessibility and reporting systems
2.76
As part of the Women’s Economic Security Package, WGEA secured funding to ‘develop and implement a replacement, fit-for-purpose, online reporting and data management system’. WGEA’s annual report advised that as part of the upgrade process:
The Agency undertook a review of its business rules and data collection processes. The key outcomes of this review were the identification of changes that could improve data quality and simplify the reporting process for employers. All the underlying guiding principles and reporting organisation guidelines were collected and analysed to enable better data coverage and assist in the simplification of the process. The build of the new system has incorporated the documented agreed changes with impact assessment for reporting processes established and a communication strategy developed for stakeholders.
2.77
At the time of the annual report, it was anticipated that full delivery of the project would be reached by April 2021.
2.78
A further performance criterion for WGEA was for it to analyse its data, and provide ‘targeted and accessible insights’. To this end, during the reporting period it released new and updated resources focusing on emerging issues, including:
an updated and upgraded gender pay gap calculator for organisations to calculate and analyse their organisation-wide gender pay gaps;
an insight/ /background paper on gender equitable recruitment and promotion and an accompanying Guide for organisations;
a WGEA website dedicated to ‘Gender equality and men’ that includes an insight paper on gender equitable parental leave and resources on workplace flexibility; and
an insight paper on ‘Women’s economic security in retirement’.
2.79
In addition, WGEA resources were promoted through social media, email campaigns and public engagement events.
External scrutiny
2.80
As noted earlier in this report, the PGPA Rule requires annual reports to include information on the most significant developments in relation to external scrutiny of the entity during the relevant reporting period.
2.81
The WGEA 2019-20 annual report notes that the agency is subject to an annual statutory audit performed by the ANAO, the outcome of which are presented to its Audit Committee. The Audit Committee ‘provides independent assurance and assistance to the Director’ on WGEA’s governance framework and financial statement responsibilities.
2.82
WGEA advised that there had been no significant developments in the external scrutiny of the agency during the 2019-20 reporting period.
2.83
As part of its own scrutiny processes, WGEA’s annual report does provide information on those organisations that have been assessed as not complying with the Workplace Gender Equality Act 2012 (a list is available at Appendix 1 of the WGEA annual report, with an up-to-date list available on WGEA’s webpage).
2.84
Due to the impact of COVID-19 on some employers, the Director of WGEA used their discretion to exclude from the non-compliance list those employers ‘from industries severely impacted who sought an exemption from reporting’. However, employers which had been non-compliant in prior years were not excluded (unless mitigating circumstances could be shown).
Financial statements
2.85
The WGEA 2019-20 annual report includes financial statements which were prepared in accordance with section 34(1) of the PGPA Rule. The WGEA financial statements received an unqualified assurance report from the ANAO.
2.86
Total appropriations for WGEA in 2019-20 were $4.864 million. Additional funding of $667,000 was received through the Women’s Economic Security Package (Security Package), for the replacement of WGEA’s online management and reporting system.
2.87
Expenditure for 2019-20 was six per cent less than for 2018-19 at $6.165 million, due to activities related to the Security Package. Expenditure on suppliers totalled $2.072 million and included IT and office equipment; contractors; travel and training for staff; subscriptions, printing and publications; and leasing costs of $410,000. Employee benefits totalled $3.497 million.
2.88
WGEA generated its own income totalling $272,964. $266,364 was generated from the rendering of services; the remaining $46,600 was made up of other revenue.
Committee view
2.89
The committee found WGEA’s annual report to be well presented and informative. For the purposes of its report to the Senate, the committee considers the annual report to be ‘apparently satisfactory’.
Chair