This is an HTML version of an attachment to the Freedom of Information request 'McKinsey'.


PO Box 7820 Canberra BC ACT 2610                       
 
 
 
16 March 2020 
 
 
 
 
 
Our reference:  LEX 52503 
Mr Andy Johnson 
 
 
 
Only by email: xxxxxxxxxxxxxxxxxxxxxxxxx@xxxxxxxxxxx.xxx.xx 
 
 
Dear Mr Johnson, 
Decision on your Freedom of Information Request 
I refer to your request, received by Services Australia on 15 February 2020 for access under 
the Freedom of Information Act 1982 (the FOI Act) to the following documents:  
‘I would like to request a copy of all reports / documents delivered by consulting firm 
McKinsey & Company to the Department since 1990. In addition, I would like to 
request a copy of each invoice paid to McKinsey for each report (including $ fees 
paid, rate card applied, and other commercial terms). 
Given the recent, significant public interest in McKinsey due to their controversial 
activities in anti democratic or corrupt governments such as South Africa, Saudi 
Arabia and Malaysia (1MDB), I request that the FOIA request fees be waived.’ 
My decision 
I have decided to refuse your request under section 24(1) of the FOI Act because a 'practical 
refusal reason' still exists under section 24AA of the FOI Act.  I am satisfied that the work 
involved in processing your request would substantially and unreasonably divert the 
resources of Services Australia from its other operations as specified in section 24AA(1)(a)(i) 
of the FOI Act. 
The reasons for my decision, including the relevant sections of the FOI Act, are set out in 
Attachment A
You can ask for a review of our decision 
If you disagree with the decision you can ask for a review. There are two ways you can do 
this. You can ask for an internal review from within Services Australia, or an external review 
by the Office of the Australian Information Commissioner. You do not have to pay for reviews 
of decisions. See Attachment B for more information about how to arrange a review.  
Further assistance 
If you have any questions please email xxx.xxxxx.xxxx@xxxxxxxxxxxxxxxxx.xxx.xx 
 
 
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Yours sincerely 
 
 
Alex 
Authorised FOI Decision Maker 
Freedom of Information Team 
Employment Law and FOI Branch | Legal Services Division  
Services Australia 
 
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PO Box 7820 Canberra BC ACT 2610                       
 
REASONS FOR DECISION 
What you requested 
'‘I would like to request a copy of all reports / documents delivered by consulting firm 
McKinsey & Company to the Department since 1990. In addition, I would like to 
request a copy of each invoice paid to McKinsey for each report (including $ fees 
paid, rate card applied, and other commercial terms). 
Given the recent, significant public interest in McKinsey due to their controversial 
activities in anti democratic or corrupt governments such as South Africa, Saudi 
Arabia and Malaysia (1MDB), I request that the FOIA request fees be waived.' 
Request consultation process 
On 4 March 2020, I wrote to you providing a notice of intention to refuse your request under 
section 24AB(2) of the FOI Act as your request didn’t sufficiently identify the documents you 
were requesting and was too big to process. I gave you an opportunity to consult with 
Services Australia to revise your request so as to remove the practical refusal reason. 
Specifically, I suggested that you might wish to revise your request to specify that you were 
only seeking final versions of the reports commissioned by Services Australia from McKinsey 
& Company. 
On 7 March 2020, you wrote to us and made the following revision to the scope of your 
original request: 
'Can I please modify the request to cover the last 3 years?' 
Therefore, I understand your revised request to be for the following: 
‘I would like to request a copy of all reports / documents delivered by consulting firm 
McKinsey & Company to the Department between 15 February 2017 and 15 
February 2020. In addition, I would like to request a copy of each invoice paid to 
McKinsey for each report (including $ fees paid, rate card applied, and other 
commercial terms). 
What I took into account 
In reaching my decision I took into account: 
•  your original request dated 15 February 2020 and your revised request on 7 March 
2020; 
•  the documents that fall within the scope of your request; 
•  consultations with Services Australia officers about: 
o  the nature of the documents; and 
o  Services Australia's operating environment and functions; 
•  guidelines issued by the Australian Information Commissioner under section 93A of 
the FOI Act; and 
•  the FOI Act. 
Reasons for my decisions 
I am authorised to make decisions under section 23(1) of the FOI Act. 
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Following the request consultation process outlined above, in accordance with section 24AB 
of the FOI Act, I am satisfied that a practical refusal reason still exists in that the work 
involved in processing your request would substantially and unreasonably divert the 
resources of Services Australia from its other operations. The reasons for my decision, 
including consideration of the factors I am required to take into account in section 24AA(2), 
are outlined below. 
Practical refusal reason 
Section 24AA of the FOI Act provides that a practical refusal reason exists in relation to a 
request for a document if the work involved in processing the request would:  
'substantially and unreasonably divert the resources of the agency from its other 
operations'.  
The word 'substantial' has previously been interpreted to mean severe, of some gravity, large 
or weighty or of considerable amount, real or of substance and not insubstantial or of 
nominal consequence.  The use of the word 'unreasonable' has been interpreted to mean 
that a weighing of all relevant considerations is needed, including the extent of the resources 
needed to meet the request. 
In determining whether processing the request would substantially and unreasonably divert 
Services Australia's resources, section 24AA(2) of the FOI Act requires me to have regard to 
the resources that would have to be used for the following: 
•  identifying, locating or collating the documents within the filing system of Services 
Australia; 
•  deciding whether to grant, refuse or defer access to a document including resources 
used for examining the document and consulting with any person or body in relation 
to the request; 
•  making a copy or an edited copy of the document; and  
•  notifying of any decision on the request.  
In accordance with section 24AA(3), I did not consider any reasons you might have for 
requesting access to the documents.    
Why your request is substantial  
When I first notified you that a practical refusal reason existed, I estimated that over 170 
hours of processing time would be required to deal with this request (excluding the time 
required to search for and retrieve electronic documents). 
I acknowledge that your revised scope has substantially limited the time period of relevance 
for your request. However, this has not reduced the volume of material identified as being 
relevant to your request and that will require retrieval and processing. 
This is because all material identified as relevant for the time period of your original request 
was produced within the last 3 years.  
Since I notified you that I considered a practical refusal reason existed in relation to your 
request, Services Australia's searches and enquiries have identified further documents in 
scope and I have also reviewed a sample of the documents in scope.   
I now estimate that it would take over 210 hours to process your request. 
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Sampling of documents for the purposes of the estimate 
I determined it was appropriate to sample 7% of the documents in scope.  The sampled 
documents revealed a range of deliberative material, confidential material, commercial 
information and personal material that will need to be considered for redaction.  
I am satisfied on the basis of that sample that I would have needed to consider applying the 
following redactions under FOI Act: 
a.  section 47G to material concerning the commercial or financial affairs of an 
organisation which could be reasonably expected to unreasonably adversely 
affect that organisation’s commercial or financial affairs; 
b.  section 47C to material relating to a deliberative process; 
c.  section 47F(1) to material containing third party information, the disclosure of 
which would be unreasonable; and 
d.  section 45 to material obtained in confidence; 
I am also satisfied that the sampled documents contain third party information that it is 
appropriate to consult in relation to. I am satisfied that the time taken to properly consult all 
third parties would be in excess of 6 hours.  I have made this assessment on the basis that 
Services Australia would only consult each party once regardless of circumstances where 
they may be named in more than one document.  
Why your request is unreasonable 
For the purposes of deciding whether your request would unreasonably divert the resources 
of Services Australia from its other operations, I considered whether the substantial resource 
burden would be unreasonable having regard to the following: 
•  one individual processing your request would be required to spend over 5 weeks 
processing your request; 
•  your request involves duplication of documents (for example your request in its 
current form would cover not just final documents, but each draft used to create that 
final document); and 
•  beyond satisfying public curiosity your submissions do not demonstrate that releasing 
these documents will benefit the broader public and advance the public interest. 
As discussed above, I have estimated that your request would take approximately 210 hours 
to process.  Services Australia receives approximately 300- 400 FOI requests per month, the 
majority of which are requests are from people seeking their own information.  I am satisfied 
that the processing of your request would divert Services Australia resources from the 
processing of these other requests. 
Conclusion 
In summary I am satisfied that the work involved in processing your request would 
substantially and unreasonably divert the resources of Services Australia from its other 
operations, namely the processing of other FOI requests and the delivery of social services 
to all Australians more broadly. 
I have found that a practical refusal reason exists in relation to your request for access to the 
documents.  Accordingly, I have decided to refuse your request under section 24(1) of the 
FOI Act. 
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PO Box 7820 Canberra BC ACT 2610                       
 
Attachment B 
 
 

INFORMATION ON RIGHTS OF REVIEW 
 
FREEDOM OF INFORMATION ACT 1982 
 
Asking for a full explanation of a freedom of information (FOI) decision 

Before you ask for a formal review of a FOI decision, you can contact us to discuss your 
request. We will explain the decision to you. This gives you a chance to correct 
misunderstandings.  
Asking for a formal review of an FOI decision 
If you still believe a decision is incorrect, the Freedom of Information Act 1982 (FOI Act
gives you the right to apply for a review of the decision. Under sections 54 and 54L of the 
FOI Act, you can apply for a review of an FOI decision by: 
1.  an Internal Review Officer in Services Australia; and/or 
2.  the Australian Information Commissioner. 
Note 1: There are no fees for these reviews. 
Applying for an internal review by an Internal Review Officer 
If you apply for internal review, a different decision maker to Services Australia delegate who 
made the original decision will carry out the review. The Internal Review Officer will consider 
all aspects of the original decision and decide whether it should change. An application for 
internal review must be: 
•  made in writing 
•  made within 30 days of receiving this letter 
•  sent to the address at the top of the first page of this letter. 
Note 2: You do not need to fill in a form. However, it is a good idea to set out any relevant 
submissions you would like the Internal Review Officer to further consider, and your reasons 
for disagreeing with the decision.  
Applying for external review by the Australian Information Commissioner 
If you do not agree with the original decision or the internal review decision, you can ask the 
Australian Information Commissioner to review the decision.  
If you do not receive a decision from an Internal Review Officer in Services Australia within 
30 days of applying, you can ask the Australian Information Commissioner for a review of the 
original FOI decision.  
You will have 60 days to apply in writing for a review by the Australian Information 
Commissioner.  
You can lodge your application
PAGE 7 OF 8 

Online: 
www.oaic.gov.au   
Post:    
Australian Information Commissioner 
 
 
GPO Box 5218 
SYDNEY NSW 2001  
Email:   
xxxxxxxxx@xxxx.xxx.xx 
 
Note 3: The Office of the Australian Information Commissioner generally prefers FOI 
applicants to seek internal review before applying for external review by the Australian 
Information Commissioner. 
Important: 
•  If you are applying online, the application form the 'Merits Review Form' is available 
at www.oaic.gov.au.  
•  If you have one, you should include with your application a copy of the Services 
Australia decision on your FOI request  
•  Include your contact details 
•  Set out your reasons for objecting to Services Australia's decision. 
Complaints to the Australian Information Commissioner and Commonwealth 
Ombudsman  

Australian Information Commissioner 
 
You may complain to the Australian Information Commissioner concerning action taken by 
an agency in the exercise of powers or the performance of functions under the FOI Act, 
There is no fee for making a complaint. A complaint to the Australian Information 
Commissioner must be made in writing. The Australian Information Commissioner's contact 
details are: 
 
Telephone:      1300 363 992 
Website:          www.oaic.gov.au  
 
Commonwealth Ombudsman 
 
You may also complain to the Commonwealth Ombudsman concerning action taken by an 
agency in the exercise of powers or the performance of functions under the FOI Act. There is 
no fee for making a complaint. A complaint to the Commonwealth Ombudsman may be 
made in person, by telephone or in writing. The Commonwealth Ombudsman's contact 
details are: 
 
Phone:             1300 362 072 
Website:          www.ombudsman.gov.au 
 
The Commonwealth Ombudsman generally prefers applicants to seek review before 
complaining about a decision. 
 
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Document Outline