Building the Workforce the APS Needs Next
Government Innovation Showcase Federal - Next-Gen Government: Digital, AI & the Future
As government agencies push to deliver simpler, more connected public services, one challenge cuts across every department: people. Technology may be advancing fast, but it’s the workforce that determines whether those advances translate into results.
At the Government Innovation Showcase Federal, a panel on Navigating the Skills Shortage explored how agencies can collaborate to attract, retain, and grow the people needed to deliver Australia’s digital future.
Calleo Managing Director David Bain-Smith joined senior leaders from the Department of Health and Aged Care and the Australian Maritime Safety Authority to unpack how shared capability, flexible career paths, and a stronger sense of purpose can keep the public sector competitive in a tightening market.
Collaboration Over Competition
The skills shortage is not new - but it’s changed shape. Where agencies once competed for scarce talent, the focus now is on collaboration.
David noted that “internal mobility shouldn’t be seen as attrition; it is retention for the Commonwealth.” Open movement between departments allows people to grow without leaving the public service, strengthening collective capability and reducing the pressure to constantly recruit.
Other speakers highlighted how communities of practice, micro secondments, and even informal knowledge-sharing networks are helping agencies borrow and lend skills during critical project phases. These flexible arrangements keep projects moving, spread expertise, and build connections that outlast any single initiative.
Ultimately, Australia’s digital transformation will only succeed if agencies treat employees as a shared resource, not a competitive asset.
Reframing the APS Value Proposition
Attracting and retaining digital professionals means telling a better story about what it means to work in government. Graduates and experienced professionals alike want impact and purpose as much as salary.
Speakers shared examples of universities partnering on final-year capstone projects that place students into live government environments - offering a pathway from classroom to public impact. Others described refining a digital skills framework to make career pathways visible, helping existing staff pivot into emerging digital roles rather than hiring solely from outside the APS.
David reinforced that the Commonwealth has a unique advantage: “We get to work on projects that safeguard national assets and improve people’s lives. That’s a powerful message if we can tell it well.”
Combining that purpose with flexibility, professional development, and a clear digital brand makes the APS far more competitive against the private sector.
Mobility as a Mindset
Mobility was a recurring theme. From part-time borrowing to talent banks, agencies are finding ways to keep capability circulating. David explained how Calleo often facilitates capacity lending between agencies during key delivery phases - allowing teams to access the skills they need without long hiring cycles.
This model works because it’s simple: trust people, focus on outcomes, and remove unnecessary processes. Temporary movement (when handled well) keeps skills fresh, breaks down silos, and builds resilience across the system.
Agencies are also testing micro secondments, allowing staff to spend short bursts in other teams to exchange knowledge and gain perspective. It’s a low-barrier way to develop future leaders and reduce the isolation that often slows innovation.
The Skills That Will Matter Most
Looking ahead, the discussion converged on three critical skill areas for the APS: data literacy, security, and risk management.
As automation and AI reshape workflows, understanding how to use, protect, and govern data becomes everyone’s responsibility. David cautioned that “technical expertise is only half the picture - public sector accountability demands equal strength in risk and ethics.”
These technical foundations are complemented by the human qualities the APS has always valued: curiosity, resilience, and a commitment to public good. Blending the two will define what success looks like in the next decade of digital government.
Building a Culture That Retains Our People
Retention starts with solid leadership. The panel agreed that engagement grows when people can see how their work contributes to something larger. Departments connecting day-to-day tasks with national outcomes are building loyalty that salary adjustment just can’t buy.
This people-first culture is supported by process improvements like internal talent banks, faster matching for acting roles, and transparent expressions of interest. These changes reduce friction and show staff that career development is greatly enabled within government roles.
Ultimately, capability isn’t just a pipeline issue. It’s a cultural one. Agencies that make mobility, trust, and purpose part of their operating rhythm will keep their best people - and attract many more.
Calleo’s Take
Calleo continues to work with agencies across the Commonwealth to deliver projects that depend on capability, trust, and collaboration. As David summed up during the session, “The real challenge isn’t finding talent - it’s creating the conditions where good people want to stay and grow.”
If your agency is building digital capability or managing large-scale transformation, talk to us about how we can help you connect skills, people, and delivery outcomes across the government.
