Most research on information literacy has emerged from the academic sector and there is a lack of research undertaken in the workplace. To further expand on this area of study, a survey was undertaken to investigate librarians' understanding of information literacy and the application of information literacy in government libraries in Australia. Of particular interest is that many government librarians either do not include "critical thinking" skills in their definition of information literacy, or if they do include it, they do not believe that they should have the responsibility for teaching it. This most likely reflects the difference in client base, students compared with adult professionals. There was a high response for instruction for online library services (catalogue, journals, databases and library website). This indicates a recognised need for instruction and the development of courses and support materials in these services. (Contains 2 tables and 1 figure.)