Tourism Australia Managing Director Phillipa Harrison has been reappointed for another five-year term at the helm of the embattled agency, Crikey can reveal.
Harrison’s reappointment, which the government has been keeping quiet for nearly two months, happened as her agency was being investigated by the Australian Federal Police and just weeks after she was criticised by the National Anti-Corruption Commission (NACC) for failing to immediately report potential corrupt conduct within the agency.
The decision to reappoint Harrison was made by the Tourism Australia board, and Trade Minister Don Farrell told the prime minister the news on July 4, a document released to Crikey on Wednesday night under freedom of information (FOI) laws shows.
“Tourism Australia’s board chair, Mr Michael Issenberg, has written to me informing me of the boards [sic] unanimous decision on the matter,” Farrell wrote in a letter to Anthony Albanese.
The letter added Farrell “supported” the reappointment, noting Harrison was “well regarded in the industry” for her leadership during the coronavirus pandemic while Tourism Australia pivoted from attracting international tourists to promoting domestic travel.
Crikey applied for information about the decision on July 22, after reporting for months about a scandal inside the agency. By that date, the NACC had initiated and then scrapped a preliminary probe into Tourism Australia, after Crikey revealed three staffers, including a senior employee, had gone on private holidays using $137,441 of taxpayer money. Three people were fired and made to pay the money back.
On June 4 Harrison gave a statement to Senate estimates outlining the steps Tourism Australia’s management team had taken after the scandal including an audit going back to 2020 to make sure there were no other instances of wrongdoing and a “strengthening” of travel policy processes.
On June 13, the Australian Federal Police received a report about the travel scandal, which Crikey revealed the same day. The police force initiated a probe that was still ongoing by early August, meaning Farrell and the board were likely aware of the police investigation when Harrison was reappointed.
Depending on how much Harrison told the board and the minister, those decision makers might also have been aware of a pair of letters from the NACC addressed to her, sent on June 5 and 6, in which Harrison’s agency was criticised for not reporting the travel scandal quickly enough to the corruption watchdog. Harrison was first made aware of the scandal in October last year, but didn’t report it to the NACC until January 24. The letters were made public in early August.
NACC commissioner Paul Brereton’s letters also said he was of the opinion the travel scandal “could involve corrupt conduct that is serious and systemic”. Furthermore, he asked Harrison to correct the Senate record after she falsely implied she had been told by the NACC she would be “unable” to answer questions about the scandal in front of estimates.
Farrell’s office prepared a media statement to coincide with the release of the FOI document, which was provided to Crikey alongside the rest of the material.
“As [pandemic] recovery continues, Tourism Australia under Ms Harrison’s stewardship, is continuing to help drive international demand including through the successful ‘Come and Say G’day’ campaign. The campaign has had almost 2.5 billion views worldwide helping to convert interest into international visitor bookings,” Farrell said in the statement.
“Under Ms Harrison’s ongoing leadership, I am confident Tourism Australia will continue to do what they do best, encouraging more international visitors to experience our abundant natural beauty, wonderful experiences and world-class food and wine.”
While the reappointment was made by the Tourism Australia board — a fact government officials have been careful to stress in conversations with Crikey — the Tourism Australia Act 2004 says that “the managing director holds office on the terms and conditions (if any) in relation to matters not covered by this act that are determined by the board with the minister’s written approval”.
Harrison began her tenure as managing director in 2019, and her contract was due to expire on September 11. According to the 2022-23 annual report, she earned a total of $536,792 that financial year.
It’s not the first time the tenure of a Tourism Australia managing director has made headlines: Scott Morrison’s time as the inaugural head of Tourism Australia from 2004 to 2006 was the source of endless speculation during his first three years as prime minister, beginning in 2018.
The Age state political editor Annika Smethurst revealed in her 2021 book The Accidental Prime Minister Morrison had lost the confidence of then tourism minister Fran Bailey over his failure to properly consult her over a series of controversial ad campaigns, leading to his sacking.
