A second senior TasTafe executive has stepped down following a damning Integrity Commission report that revealed its head had improperly promoted his friend, resulting in significant financial benefits.
An external audit into the training provider has begun, and accounting firm WLF Accountancy and Advisory will spend 12 months investigating hiring practices and the use of credit cards.
The commission's report found former chief executive Stephen Conway increased deputy chief executive Lori Hocking's salary without the approval of the head of the state service, created a position for her and allowed her to claim personal benefits using state funds.
She received salary increases of $55,000 in her first 12 months in the role, and an "incentive payment scheme" worth about $30,000 in benefits.
Mr Conway resigned at the time of the report's release, and it has been revealed Ms Hocking has now also resigned, after being on paid leave.
Government Minister Guy Barnett said while the audit would take a year, interim updates may be made available.
"Mr Conway was appointed by the former government, we've been here to help clean up the mess," Mr Barnett said.
"We believe the audit will help deliver confidence back into the sector."
Labor MP Michelle O'Byrne said it was the Government's responsibility to ensure agencies were being run properly.
"Why did the Government take so long to discover what was going on?" Ms O'Byrne said.
"I think most taxpayers, most students and most teachers want to know exactly what's going on and have certainty as they invest their dollars into the training system."
During budget estimates, Education Minister Jeremy Rockliff acknowledged TasTafe's reputation had been damaged, as it was further revealed Mr Conway used the organisation's resources to maintain his boats.
Bills racked up on credit
A Right to Information document released by the Government today shows TasTafe executives spent a total of $232,000 on taxpayer funded credit cards in just under two years.
Ms Hocking was the biggest spender, racking up almost $100,000 between July 2015 and May this year — spending it on travel, accommodation and consumables.
Mr Conway spent $36,000 on similar expenses.
Mr Barnett said the audit would be extended to cover the use of credit cards.
"We'll consider the recommendations very seriously," he said.
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