Efforts at public sector tech recruitment could be creating a pay gap. 

The Community and Public Sector Union (CPSU) has raised concerns about the lack of transparency in hiring and pay arrangements.

Reports say public sector agencies' attempts to hire tech talent are unintentionally reinforcing gender bias by offering out-of-band payments that predominantly benefit men in the male-dominated industry. 

The 2022 Australian Public Service Remuneration Report reveals a significant gender disparity in Individual Flexibility Arrangements (IFAs), favouring men across pay bands. 

CPSU opposes IFAs as they allow agencies to grant pay increases to select employees instead of raising general wages or promoting employees.

In addition to the gender bias, there is a substantial pay gap between private-sector and public-sector tech workers, around $100,000 annually. 

This gap is also seen in hard science disciplines.

The lack of transparency around IFA salaries likely stems from the need to retain valuable tech skills amid competition from private recruiters. 

However, the report shows a severe shortage of women with tech training considering careers in the public sector.

About 4.45 per cent of the APS workforce is in tech roles. This underrepresentation is especially concerning in the Senior Executive Service (SES), with just eight tech professionals.

Banks actively promote tech careers, offering attractive salary growth potential. For instance, the Commonwealth Bank of Australia (CBA) hired 1,800 software engineers in two years, with starting salaries ranging from $150,000 to $200,000.

Public sector agencies are compelled to use IFAs to secure tech staff, exacerbating the gender imbalance in tech roles, which are already predominantly male.

The CPSU highlights a recruitment and retention crisis and proposes alternatives to IFAs for fair and transparent processes, but these have been rejected, along with recommendations for a distinct APS technology stream in the Thodey Review.