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WA Public Sector Payroll Soars to $36.2 Billion

  //politics-government.news-articles.net/content/ .. public-sector-payroll-soars-to-36-2-billion.html
  Published in Politics and Government on Sunday, February 8th 2026 at 14:48 GMT by The West Australian
      Locales: Western Australia, AUSTRALIA

Perth, WA - February 8th, 2026 - Western Australia's public sector is experiencing a period of unprecedented growth, fueled by a significant surge in highly-paid bureaucrats. Recent data reveals a substantial increase in the number of public servants earning over $200,000, driving a dramatic expansion of the state's payroll. The question on many minds is whether this expansion is sustainable and delivering genuine value for Western Australians.

Figures compiled from State Treasury data show the total public sector wage bill has ballooned by 28.4 percent in the last five years, reaching $36.2 billion - a staggering $6.9 billion increase. A key driver of this rise is the sharp increase in high-earning positions. In the 2022-23 fiscal year, 6,855 public servants were paid over $200,000 annually, representing a 14.2 percent increase since 2018-19. This surge in higher salaries alone adds an additional $889 million to the state's annual payroll.

While a growing population and increased demand for public services undoubtedly contribute to the expanding workforce, concerns are escalating regarding the long-term financial sustainability of this trajectory and its impact on the state budget. The substantial increase isn't spread evenly across all departments. Agencies like the Department of Premier and Cabinet, the Department of Justice, and the Department of Health demonstrate the most significant increases in payroll expenses. This concentration raises questions about whether resources are being allocated effectively.

Opposition Leader Libby Menzel has voiced strong concerns, labeling the figures "alarming." She questioned the government's ability to demonstrate that the influx of bureaucrats is actually improving the efficiency of the public service. "It's crucial that the State Government demonstrates that these additional employees are delivering value for money and contributing to improved outcomes for Western Australians," Menzel stated. Her comments tap into a growing public sentiment demanding greater accountability and transparency in government spending.

Treasurer Troy Buswell defends the increase, attributing it to the state's robust economic growth and the necessity to attract and retain skilled workers in a competitive job market. He asserts the WA public sector is a "vital employer" and the government is committed to maintaining a capable workforce to provide essential services. However, critics argue that simply citing economic growth doesn't address the proportionality of the wage increases or whether alternative, more cost-effective solutions were explored.

Public Sector Commissioner James Holder echoes the sentiment of needing to attract top talent by maintaining a "competitive and attractive" public sector. He emphasizes the crucial role the public sector plays in delivering services to the community and reiterates the commitment to a "skilled and motivated workforce." While attracting talent is important, this justification doesn't address the growing concerns about the sheer volume of high-paid positions being created.

The situation is further complicated by ongoing debates surrounding productivity within the public sector. Comparisons with private sector efficiency are frequently drawn, with critics suggesting that the public sector often lacks the same level of performance incentives. A recent report by the Centre for Independent Economic Research highlighted that administrative overhead within several WA government departments is significantly higher than the national average.

Looking ahead, the WA government faces a critical challenge: balancing the need for a skilled public workforce with the imperative of fiscal responsibility. Several potential solutions are being debated. These include implementing stricter performance-based pay structures, streamlining administrative processes, and increasing investment in technology to improve efficiency. Some economists suggest exploring alternative staffing models, such as shared services arrangements, to reduce duplication and lower costs. The upcoming state budget will be a key indicator of the government's commitment to addressing these concerns and ensuring the long-term sustainability of the public sector. The debate isn't simply about numbers; it's about ensuring that taxpayer dollars are being used effectively to deliver the best possible services to the people of Western Australia.