Defence Force Retirement and Death Benefits (Annual Rates of Pay) Regulations (Amendment) 1991 No. 133
EXPLANATORY STATEMENT
STATUTORY RULES 1991 No. 133
ISSUED BY THE AUTHORITY OF THE MINISTER FOR DEFENCE SCIENCE AND PERSONNEL
DEFENCE FORCE RETIREMENT AND DEATH BENEFITS (ANNUAL RATES OF PAY) REGULATIONS (AMENDMENT)
Section 3 of the Defence Force Retirement and Death Benefits Act 1973 ("the Act") provides for the "annual rate of pay" for members of the Defence Force (the basis for calculating contributions and entitlements under the Defence Force Retirement and Death Benefits Scheme) to be prescribed.
The Defence Force Retirement and Death Benefits (Annual Rates of Pay) Regulations ("the Regulations"), made under the Act, prescribe the annual rates of pay for the purposes of section 3 of that Act.
The Defence Force has reviewed the organisation of Service chaplains, and restructured the classification of chaplains. The Regulations contain provisions that required amendment to reflect the restructuring.
Under the restructuring, chaplains are classified into 5 Divisions. This new divisional classification has formed the basis of two salary determinations (one for chaplains in the Permanent Forces, and the other for Reserve chaplains) by the Defence Force Remuneration Tribunal ("the Tribunal"). The classification will also be the basis for prescribing the annual rate of pay applicable for Defence Force Retirement and Death Benefits ("DFRDB") purposes. In addition, the classification enables chaplains to be assigned notional ranks corresponding to the ranks held by officers generally. (Chaplains hold no rank other than that of chaplain, and do not exercise rank-related functions such as command. However, notional ranks are assigned for circumstances where equivalence is necessary.)
The Statutory Rule makes the necessary changes to reflect the restructuring.
Regulation 4 of the Regulations prescribes annual rates of pay for the purposes of the DFRDB Scheme. Subregulation 4(3) provides for the annual rate of pay to be a member's salary plus certain specified allowances. However, this provision is subject to subregulation 4(5) which makes special provision for the annual rate of pay of chaplains. The annual rate of pay for chaplains is ascertained by reference to determinations made under section 58B of the Defence Act as amended by determinations of the Tribunal.
A new salary structure for chaplains was determined by the Tribunal on 13 September 1990, based on the new divisional structure.
Previously, subregulation 4(5) tied the annual rate of a chaplain's pay to the length of his or her service as a chaplain in the Defence Force, and not to the classification system.
The Statutory Rule replaces subregulation 4(5) with a provision that fixes the annual rate of pay of chaplains by reference to the new divisional classification. For chaplains in Division 1 or 2 the annual rate of pay for the purposes of the DFRDB Scheme is the top rate of salary determined by the Tribunal for those Divisions. For chaplains in Division 3, 4 or 5 the annual rate of pay applicable is the annual rate of salary of the chaplain as determined by the Tribunal. (The top rate of salary is used for Division 1 and 2 chaplains as they have a number of salary increments. This is in accordance with the approach taken in other areas of the Defence Force where there are a number of increments applicable. No increments apply to Division 3, 4 and 5 chaplains.)
The Statutory Rule is taken to have commenced on 19 July 1990, the date of effect of the Tribunal's salary determinations. The Statutory Rule needs to have retrospective effect to ensure that salary paid in line with the new classifications will be reflected for DFRDB purposes. The retrospectivity does not adversely affect the rights or conditions of service of any chaplains.
Overview
The Defence Force Retirement and Death Benefits (Annual Rates of Pay) Regulations (Amendment) 1991 No. 133, issued by the authority of the Minister for Defence Science and Personnel, amends the existing Defence Force Retirement and Death Benefits (Annual Rates of Pay) Regulations to address the need for updating the classification structure of chaplains within the Defence Force. This amendment follows the restructuring of Service chaplains and the creation of five new divisions, which required corresponding changes in the salary structure. The objective of this Statutory Rule is to ensure that the annual rates of pay for Defence Force Retirement and Death Benefits purposes are accurately reflected according to the new classification system determined by the Defence Force Remuneration Tribunal. The new salary determinations, effective from 13 September 1990, now tie the annual rate of pay for chaplains to their divisional classification, rather than the previous system based on length of service. The Statutory Rule, which took effect on 19 July 1990, has retrospective application to ensure that all salaries paid in accordance with the new classifications are appropriately recognised for Defence Force Retirement and Death Benefits purposes without adversely affecting the rights or conditions of service of any chaplains.
Scope and Application
The Defence Force Retirement and Death Benefits (Annual Rates of Pay) Regulations (Amendment) 1991 No. 133 applies to members of the Defence Force, specifically focusing on Service chaplains who have undergone a restructuring in their classification into five divisions. This restructuring is integral to the calculation of annual rates of pay for Defence Force Retirement and Death Benefits (DFRDB) purposes, which are prescribed under section 3 of the Defence Force Retirement and Death Benefits Act 1973. The Regulations amend the previous provisions to reflect the new classification system determined by the Defence Force Remuneration Tribunal on 13 September 1990. The new classification not only aligns with the new divisional structure but also assigns notional ranks to chaplains to facilitate necessary equivalences, though chaplains do not hold actual ranks and do not exercise rank-related functions. The amendments ensure that the annual rates of pay for chaplains are now based on the new salary determinations made by the Tribunal, with specific provisions for different divisions, and these changes have retrospective effect from 19 July 1990 to accurately reflect the new classifications for DFRDB purposes without adversely affecting the rights or conditions of service of any chaplains.
Key Provisions
The Defence Force Retirement and Death Benefits (Annual Rates of Pay) Regulations (Amendment) 1991 No. 133, under section 3 of the Defence Force Retirement and Death Benefits Act 1973, outlines changes to the annual rates of pay for Defence Force members, with specific focus on restructuring the classification of Service chaplains (section 3). The Regulations now reflect the new divisional classification of chaplains into five Divisions, as determined by the Defence Force Remuneration Tribunal. Regulation 4 provides for the calculation of the annual rates of pay, with subregulation 4(5) now specifying that the annual rate of pay for chaplains will be based on the new classification system rather than the length of service (section 4(3) and (5)).
The Regulations impose certain obligations on the parties involved, primarily stipulating that the annual rates of pay for Defence Force Retirement and Death Benefits (DFRDB) purposes are to be calculated according to the new classification system for chaplains. This includes ensuring that the rates are derived from the salary determinations made by the Defence Force Remuneration Tribunal, with different provisions for chaplains in Divisions 1 and 2 compared to those in Divisions 3, 4, and 5. These changes aim to align the remuneration structure with the revised classification system, ensuring consistency and fairness in the calculation of DFRDB entitlements.
There are no specific offences, penalties, or consequences outlined for breaches of these Regulations. However, it is implied that any failure to comply with the prescribed annual rates of pay for DFRDB purposes could potentially lead to disputes or inaccuracies in benefit calculations. Given the structured nature of these Regulations and their alignment with the Defence Force Remuneration Tribunal's determinations, the primary focus is on ensuring accurate and fair application of the new salary structure rather than on punitive measures. The retrospective effect of the Statutory Rule ensures that any salary paid in accordance with the new classifications will be recognised for DFRDB purposes, without adversely affecting the rights or conditions of service of any chaplains.