The Department of Premier and Cabinet has ceased funding the $100,000 grant that Unions Tasmania received for the past four years under the previous Labor Government.
In a tight fiscal environment the Government has had to make some tough decisions in a whole range of non-service related areas.
This funding was provided to Unions Tasmania for education training and associated administrative expenses. The last grant payment was August 2014, totalling $100,000.
In addition to this, the previous Government also provided a separate $190,000 grant for its Worker Assist program from the Solicitors’ Guarantee Fund in 2013 to Unions Tasmania – without a funding deed or a requirement that Unions Tasmania account for how it was spent.
A review of the grant, requested by the Attorney-General, found the funding wasn’t used for the purposes it was intended, and the previous government failed to draw up a grant deed.
This means the Government can’t compel Unions Tasmania to return the funds.
However, we believe Unions Tasmania have a moral obligation to return the grant.
It is astonishing the previous government neglected normal processes when handing out public money.
Unions receive hundreds of thousands of dollars from their members to run programs on behalf of their members.
This Government does not believe additional funding should be provided to an organisation that cannot properly account for taxpayer expenditure.
Will Hodgman, Premier
