EXPLANATORY STATEMENT
Select Legislative Instrument 2007 No. 351
Issued by the authority of the Minister for Employment and Workplace Relations
Remuneration Tribunal Act 1973
Remuneration Tribunal (Members’ Fees and Allowances) Amendment Regulations 2007 (No. 1)
The Remuneration Tribunal Act 1973 (the Act) establishes the Remuneration Tribunal (the Tribunal) as an independent statutory authority responsible for reporting on and determining the remuneration, allowances and entitlements of key Commonwealth office holders. These include members of the Parliament, Judges of federal courts and Territory Supreme Courts, most full-time and part-time holders of public offices and Principal Executive Offices.
Section 13 of the Act provides that the Governor-General may make regulations, not inconsistent with the Act, prescribing all matters required or permitted by the Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to the Act.
The Regulations increase the annual fees payable to the President and other members of the Tribunal. Under section 4 of the Act, the Governor-General appoints the three part-time members of the Tribunal, one of whom is also appointed as President of the Tribunal. Section 12 of the Act provides that a member of the Tribunal shall be paid such fees and allowances as are prescribed.
The Remuneration Tribunal (Members’ Fees and Allowances) Regulations 2005 prescribes the level of remuneration for the President and the Members of the Remuneration Tribunal; the current amounts are $69,260 and $33,500 respectively.
The Regulations increase the level of remuneration by 4.2% to $72,170 for the President and $34,910 for the Members of the Remuneration Tribunal commencing 25 November 2007. The increases are consistent with recent increases to the salaries of part-time Public Office Holders. The President and Members of the Remuneration Tribunal are part-time appointments and so their positions are closely aligned to those of part-time Public Office Holders.
An assessment was made under guidelines issued by the Office of Best Practice Regulation, which indicated that a regulation impact statement (RIS) was not required for these Regulations because the amendments are of a minor or machinery nature and do not substantially alter existing arrangements.
No consultation has taken place in relation to the Regulations as they are of a minor or machinery nature and do not substantially alter existing arrangements.
The Regulations are a legislative instrument for the purposes of the Legislative Instruments Act 2003.
The Regulations commence on 25 November 2007.
Overview
The Remuneration Tribunal (Members’ Fees and Allowances) Amendment Regulations 2007 (No. 1), issued under the Remuneration Tribunal Act 1973, were introduced to update the fees payable to the President and members of the Remuneration Tribunal. Enacted by the Parliament of Australia, these regulations address the need to periodically adjust the remuneration of the Tribunal members in line with changes to the salaries of other part-time public office holders. This adjustment ensures that the compensation for the Tribunal members remains competitive and reflective of their responsibilities. The amendments increase the annual fees to $72,170 for the President and $34,910 for other members, effective from 25 November 2007. The changes are consistent with recent salary adjustments for part-time public office holders and aim to maintain parity in remuneration for similar roles within the public sector. The regulations do not require a regulation impact statement as they are considered minor and do not substantially alter existing arrangements.
Scope and Application
The Remuneration Tribunal Act 1973 is a Commonwealth statute that establishes the Remuneration Tribunal as an independent statutory authority responsible for determining the remuneration, allowances and entitlements of key Commonwealth office holders. This includes members of the Parliament, Judges of federal courts and Territory Supreme Courts, most full-time and part-time holders of public offices, and Principal Executive Offices. The Act authorises the Governor-General to make regulations prescribing the fees and allowances of Tribunal members, including the President, who is appointed from amongst the members. The Remuneration Tribunal (Members’ Fees and Allowances) Amendment Regulations 2007 (No. 1) increase the fees payable to the President and other members of the Tribunal by 4.2%, reflecting recent increases to the salaries of part-time Public Office Holders. The increases apply to part-time members of the Tribunal, whose roles are closely aligned with part-time Public Office Holders, and took effect from 25 November 2007. The Regulations do not require a regulation impact statement or consultation as they are of a minor or machinery nature and do not substantially alter existing arrangements.
Key Provisions
The Remuneration Tribunal (Members' Fees and Allowances) Amendment Regulations 2007 (No. 1) primarily address the fees and allowances for the President and members of the Remuneration Tribunal, as outlined in section 12 of the Remuneration Tribunal Act 1973. The regulations increase the annual fees for the President from $69,260 to $72,170 and for other members from $33,500 to $34,910, effective from 25 November 2007. These adjustments are in line with the recent salary increments given to part-time public office holders, recognising the part-time nature of these Tribunal roles.
These regulations impose specific obligations on the entities they govern, primarily ensuring that the President and members of the Tribunal receive the updated remuneration as prescribed. The Remuneration Tribunal, established under section 4 of the Act, is responsible for appointing the President and other members, and section 12 mandates that these appointments come with the specified fees and allowances. The regulations, therefore, serve to formalise and update the financial entitlements of these officials to reflect the latest adjustments in public sector remuneration.
In terms of compliance, the Remuneration Tribunal Act 1973 does not explicitly outline offences or penalties for breaches of the regulations. However, any failure to adhere to the prescribed remuneration as stipulated in these amendments could potentially lead to legal consequences, as the Act’s provisions are enforced through general legal frameworks that apply to statutory bodies and their financial entitlements. While specific penalties are not detailed in the explanatory statement, non-compliance could result in civil or administrative actions under the broader legislative authority governing public office remuneration.
The amendments made by these regulations are deemed to be of a minor or machinery nature, meaning that they do not substantially alter existing arrangements. Consequently, a regulation impact statement (RIS) was not required, and no consultation was conducted. The regulations are straightforward in nature, focusing on updating the fees and allowances in accordance with recent salary adjustments for part-time public office holders. These amendments are effective from 25 November 2007 and are considered a legislative instrument under the Legislative Instruments Act 2003.