Report: Audit ignores public sector's wider value to society

THE analysis behind more than 16,000 jobs to go in the Commonwealth public service has ignored the true value of employees' work, a new report argues.

A report from the Centre for Policy Development examined the National Commission of Audit and the Federal Budget.

The report found while the audit and budget looked at ways to deliver a "leaner" public service, it overlooked the wider value to society of the public service's work.

"Raising the efficiency dividend to 2.5% will compound this, resulting in across-the-board cuts to services "regardless of their utility," the report reads.

Such cuts include some 25 jobs to be cut at the Great Barrier Reef Marine Park Authority, which critics have said would reduce its capacity to respond to a raft of challenges facing the reef.

Report author Christopher Stone said while the budget assumed smaller government was always more efficient, it did not assess how to achieve government's aims while minimising the cost of staff and resources.