CPSU urges government to end KPMG contracts
- The CPSU called on the federal government to stop outsourcing auditing work to KPMG following confidential data misuse.
- The public sector union wants the Department of Finance to bring auditing functions back in-house rather than using private firms.
- The push aims to rebuild internal public sector capabilities while reducing reliance on external consultants.
The Community and Public Sector Union urged the federal government to halt outsourcing audit work to KPMG Australia after internal data misconduct surfaced.
The call follows KPMG fining seven partners and senior staff up to $180,000 for using confidential Optus information to tender for Telstra work.
“This scandal is another example of how risky it can be for government departments and agencies to outsource public sector work to consultants,” said CPSU National Secretary Melissa Donnelly.
Following an independent investigation by law firm Allens, KPMG confirmed it actioned board-endorsed financial sanctions against the individuals involved in the data breach.
The auditing firm voluntarily agreed to refrain from tendering for Department of Finance contracts until after a government review completes on Sept. 30.
KPMG previously saw former CEO Andrew Yates resign in May after the firm improperly used Lendlease information to secure work with Westpac (ASX:WBC) and Dexus (ASX:DXS).
Former Chairman Martin Sheppard also stepped down less than four weeks after parliamentary committee hearings revealed the Optus data misuse.
