Labor awarded new private prison contract while Malinauskas was Minister

Labor is accused of ‘rank hypocrisy’ over its claimed opposition to the outsourcing of public sector services and closures of under-utilised TAFE SA campuses.


Treasurer Rob Lucas said that last year, Labor leader Peter Malinauskas as then Correctional Services Minister was responsible for awarding a long-term contract to a private security provider to manage and operate the Mount Gambier prison.

“On Mr Malinauskas’ watch, when he was Minister for Correctional Services, global security firm G4S was awarded a new 5-year contract in a competitive tender process to run the Mount Gambier Prison with an option for a further 5 years,” Mr Lucas said.

“So, for Mr Malinauskas and Labor to now try to claim they are opposed to outsourcing public sector services is not only rank hypocrisy, it’s downright deceitful.”

Since it was first outsourced in 2009, the prison has expanded from 172 beds to 660 beds in June this year.

Treasurer Rob Lucas said the former Labor government also supported private sector providers of radiology services in Modbury Hospital, Noarlunga Hospital and, also, partially at the Lyell McEwin Hospital.

“The former government also supported private sector providers of radiology services in 14 country hospitals,” said Treasurer Lucas.

“They supported private sector providers of hotel services at Flinders, Modbury, Lyell McEwin, Queen Elizabeth Hospital and the Women’s and Children’s Hospital.

“Labor also signed the biggest hospital privatisation deal in the state’s history at nRAH where the private sector owns the hospital and provides all its hotel services.

“Yet Labor now tries to pretend that it opposes the possible private sector provision of health services in SA. The irony is breathtaking.”

“Labor’s shrill criticism of TAFE closures will also be scoffed at by many people in the training sector.

“They know Labor closed TAFE campuses at Marleston, O’Halloran Hill and Panorama in late 2013, and in the past two years they’ve shut down or transferred another eleven – from Gawler and Renmark to Morphettville, Kimba and Kangaroo Island.  

“So, in Mr Malinauskas’ warped view it’s ok for Labor to close TAFE sites but it’s outrageous if a Liberal government chooses to close sites for exactly the same reason.

“South Australians are pretty good at sniffing out hypocrisy and there is a real stench to these Labor claims.”

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