The Public Sector Commission was formed by the Barnett Government on 28 November 2008 with the stated aim of enhancing the independance, professionalism and integrity of the Western Australian public sector.

The Commission was formed from the existing Department of the Premier and Cabinet, the latter of which continued to operate but in a reduced capacity.

Functions transferred from the Department of Premier and Cabinet included the Public Sector Management Division, Office of e-Government, the Accountability Support Unit, support to the Office of the Director General and the secretariat support provided to the Salaries and Allowances Tribunal.

The role of the Commission is to: lead the public sector; build capacity of the public sector; evaluate performance of the public sector; develop public sector management policies and practices; drive public sector reform; and advance Government's diversity and accountability agenda.

The specific functions of the Commission include: ensuring overall public sector operational efficiency; oversight of Chief Executive Officers; management of the Senior Executive Service; administering Public Service classification and appointment processes; redeployment and voluntary severance arrangements; and remuneration setting for Government boards and committees.