EXPLANATORY STATEMENT
STATUTORY RULES 1984 No 295
REMUNERATION AND ALLOWANCES REGULATIONS (AMENDMENT) Issued with the authority of the Public Service Board
Sub-section 17(1) of the Remuneration and Allowances Act 1973 provides -
17.(1) Where a person appointed to hold a statutory office in a full-time capacity was, immediately before his appointment, the holder in a full-time capacity of another statutory office or an officer (including an unattached officer) of the Public Service or an officer in the service of a body corporate established for a public purpose by or under an Act, he shall, if the regulations so provide, be paid, during the period of his appointment (including any period of re-appointment) to the first-mentioned statutory office, in lieu of the remuneration and annual allowance (if any) payable in respect of that office, remuneration at such rate and an annual allowance at such rate (if any) as are specified in, or ascertained in accordance with, the regulations.
Sub-section 17(2) provides -
(2) The Governor-General may make regulations prescribing all matters permitted to be prescribed by this section.
In separate papers (Department of Finance Minute 1984/20 refers) it is recommended that Lawrence John Willett be appointed as Chairman of the Superannuation Fund Investment Trust.
The remuneration determined by the Remuneration Tribunal for the office of Chairman of the Superannuation Fund Investment Trust is equivalent to that payable to an officer in the Australian Public Service having a classification of Senior Executive Level 5.
Cabinet has agreed that Mr Willett should continue to receive remuneration and allowances at the rate payable from time to time to the Director-General of Health.
The regulation provides that in lieu of the remuneration and annual allowance determined by the Remuneration Tribunal in respect of the office of Chairman of the Superannuation Fund Investment Trust, Mr Willett, as the holder of that office is to be paid the remuneration and annual allowance applicable to the office of Director-General of Health.
Overview
The Remuneration and Allowances Regulations (Amendment) 1984 was enacted to address the issue of determining the remuneration and allowances for statutory office holders, specifically in the context of Lawrence John Willett's appointment as Chairman of the Superannuation Fund Investment Trust. This Statutory Rule was issued under the authority of the Public Service Board, pursuant to the Remuneration and Allowances Act 1973, which empowers the Governor-General to make regulations for matters concerning the remuneration and allowances of statutory office holders. The policy objective of these amendments is to ensure that Mr. Willett, while holding the office of Chairman, receives remuneration and allowances that align with his previous position as the Director-General of Health, reflecting the government's decision to maintain his compensation level in his new role.
Scope and Application
The Remuneration and Allowances Regulations (Amendment) Statutory Rules 1984 No 295 amends the existing Remuneration and Allowances Regulations to adjust the remuneration and allowances for specific statutory office holders in alignment with the decisions made by Cabinet. This amendment applies to individuals appointed to hold a statutory office in a full-time capacity, particularly those who were previously holders of another statutory office, Public Service officers, or officers in the service of a body corporate established for a public purpose. The amendment is made pursuant to the authority of the Public Service Board and is designed to ensure that remuneration and allowances are consistent with the classifications and rates determined by the Remuneration Tribunal or, as in the case of Lawrence John Willett, aligned with the rates applicable to the Director-General of Health. The geographic and jurisdictional reach of this amendment is limited to the Commonwealth level, as it pertains to statutory offices within the Australian Public Service and bodies established by or under an Act of the Commonwealth Parliament. This amendment does not specify any exclusions, exemptions, or thresholds, but it does indicate that the regulations can be further detailed through subordinate instruments.
Key Provisions
The main operative sections of these Statutory Rules are sections 17(1) and 17(2) of the Remuneration and Allowances Act 1973. Section 17(1) allows for the payment of specific remuneration and allowances to a person appointed to a statutory office, provided the regulations so prescribe. Section 17(2) authorises the Governor-General to make regulations that dictate these matters. In this context, the regulations provide that Lawrence John Willett, appointed as Chairman of the Superannuation Fund Investment Trust, will receive remuneration and allowances equivalent to that of the Director-General of Health, rather than the rate set by the Remuneration Tribunal for his position.
The obligations imposed by these regulations are primarily on the parties involved in the payment of remuneration and allowances. The Department of Finance, as well as the Superannuation Fund Investment Trust, must ensure that Mr Willett's remuneration aligns with the rates applicable to the Director-General of Health. This means that Mr Willett will not receive the remuneration set for the Chairman of the Superannuation Fund Investment Trust, but rather the higher rate that applies to the Director-General of Health. This decision was made by Cabinet and is reflected in these regulations.
In terms of consequences for non-compliance, the Statutory Rules do not explicitly detail offences, penalties, or consequences for breaches of these regulations. However, given that these rules are issued with the authority of the Public Service Board and follow a Cabinet decision, failure to adhere to the prescribed remuneration rates could potentially lead to administrative or legal repercussions. While specific penalties are not outlined in the document, the seriousness of the decision by Cabinet suggests that adherence to these terms is crucial. The precise legal consequences of non-compliance would likely be determined by the Public Service Act or other relevant legislation, and could involve disciplinary action, financial penalties, or other corrective measures as deemed appropriate by the relevant authorities.