Public service shrinks for first time under Albanese
Total public service headcount fell to 196,322. Promotions dropped 31% as departments cut staff and offered redundancies.
The Australian public service shrank for the first time since the Albanese government took office. The total workforce fell and promotion chances collapsed.
Promotions dropped to 12,747 in 2025-26, down 31% from 18,457 the year before. The Tax Office gave out the most promotions, at 2,714.
But the real story is the slowdown across all departments as budget pressures forced redundancy programs. Social Services had the lowest promotion rate at just 2.4%, after 302 staff took exit packages.
Staff morale has taken a hit. The 2026 census shows lower ratings for wellbeing, engagement and leadership confidence.
The trend reflects budget tightening as the service cuts non-ongoing roles and reshapes priorities.
- 12,747
- Total promotions 2025-26
- 31 percent
- Promotion decline from previous year
- 2.4 percent
- Social Services promotion rate
- 13 percent
- Promotion rate 2023-24
Why it mattersCareer paths are narrowing for public servants just as government agencies shrink and morale drops. This makes the public service less attractive to talented workers when capability is needed.
AustraliaReduced promotion prospects and morale in Australia's public service may affect recruitment and retention of skilled staff across federal departments delivering essential services and policy.
✓ Claims checked against the source. checked 9 h ago
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