Commission on the Reform of Ontario's Public Services

Chapter 16: Operating and Back-Office Expenditures
CHART 16.2 Ontario Public Service Operating Expenses
and Net Expenses as Percentage of Total Government
Spending, 2003–11
$ Billions
12.0
10.0
8.0
6.0
4.0
2.0
0.0
“Net” Operating Expenses as Per Cent of Total Government Spending
Transportation and
Communications
Supplies
Services
Employee Benefits
Salaries and Wages
2003–04 2004–05 2005–06 2006–07 2007–08 2008–09 2009–10 2010–11
Source: Ontario Ministry of Finance.
Per Cent
Chart 16.2 provides an overview of OPS operating expenditures over time and their relative
portion of total government spending. As a percentage of total government spending,
operating expenditures have decreased to less than 8 per cent in 2010–11, down from a
historic high of over 10 per cent. However, total expenditures in this category have increased
to over $10 billion as of 2010–11. Efficiencies may have been found through the creation of
more streamlined processes, lowered administrative costs, better use of technology, and
ongoing cost-avoidance and cost-reduction initiatives, but the <strong>Commission</strong> has been unable to
quantify this through our research. Our challenge is to bend down the cost curve while driving
for greater value-for-money outcomes, focusing on client service and ensuring accountability
to taxpayers.
12.0
10.0
8.0
6.0
4.0
2.0
0.0
385