Explanatory Statement: Remuneration Tribunal (Members of Parliament) Amendment Determination (No.1) 2026
- The determination is made under the Parliamentary Business Resources Act 2017 (the PBR Act). Sections 45, 46 and 46A of the PBR Act require the Tribunal to make determinations in relation to various matters for members, and former members, of the Parliament at least once each year.
- The Tribunal must determine the remuneration to be paid to members, the rates of travel allowances for domestic travel, and the allowances and expenses to be paid to former members, and the allowances to be paid to the estate of a member who dies in office. The Tribunal must publish its reasons for making a determination.
- The Tribunal also has functions under section 35 of the PBR Act relating to travel expenses, travel and private vehicle allowances and other public resources. The Tribunal must inquire annually into travel expenses and travel allowances for domestic travel (except travel on a special purpose aircraft) and may be asked by the Special Minister of State to inquire into other matters. Regulations must be made or amended in accordance with the Tribunal’s recommendations.
Consultation
Office holder salary
- On 1 December 2025, the Tribunal wrote to Senator the Hon Don Farrell, the Special Minister of State in relation to remuneration for the Leader of the third largest party in the House of Representatives.
- On 9 June 2026, the Special Minister of State wrote to the Tribunal advising that he had amended the Parliamentary Business Resources (Office Holder) Determination 2017 to establish the position of Leader of the third largest party in the House of Representatives with effect from 21 May 2022.
- The Tribunal’s Secretariat also consulted with the Department of Finance, Department of the Senate, Department of the House of Representatives and the Independent Parliamentary Expenses Authority.
Travel allowance
- There was no consultation on this matter. In addition to establishing an entitlement to office holder’s salary for the office of Leader of the third largest party in the House of Representatives the Tribunal agreed the office holder should be entitled to the higher rate of travel allowance. Both decisions reinstate arrangements which existed immediately prior to the implementation of the PBR Act.
- The Tribunal’s Reasons for Determination are available at www.remtribunal.gov.au.
Retrospectivity
- Any retrospective application of this determination is in accordance with subsection 12(2) of the Legislation Act 2003 as it does not affect the rights of a person (other than the Commonwealth or an authority of the Commonwealth) to that person’s disadvantage, nor does it impose any liability on such a person.
- The retrospective application of this determination does not disadvantage any person as it provides a greater entitlement than previously applied.
Exemption from disallowance
- Subsection 47(7) of the PBR Act provides that this determination is a legislative instrument, but section 42 (disallowance) of the Legislation Act 2003 does not apply to it.
- Exemption from disallowance is appropriate in the context of this instrument, as it amends the conditions for Parliamentarians.
The power to repeal, rescind and revoke, amend and vary
- Under subsection 33(3) of the Acts Interpretation Act 1901, where an Act confers a power to make, grant or issue any instrument of a legislative or administrative character (including rules, regulations or by-laws), the power shall be construed as including a power exercisable in the like manner and subject to the like conditions (if any) to repeal, rescind, revoke, amend, or vary any such instrument.
Details of the determination are as follows:
Section 1 – Name
- Section 1 specifies the name of the instrument as the Remuneration Tribunal (Members of Parliament) Amendment Determination (No. 1) 2026.
Section 2 – Commencement
- Section 2 specifies the commencement date of the instrument as the day after the instrument is registered on the Federal Register of Legislation.
Section 3 – Authority
- Section 3 specifies the authority for the instrument, sections 45, 46 and 46A of the PBR Act.
Section 4 – Schedules
- Section 4 outlines the effect of instruments specified in a Schedule to the instrument.
SCHEDULE 1—AMENDMENTS
Remuneration Tribunal (Members of Parliament) Determination 2024
Part 1 – General amendments
- Item 1 establishes new provisions so that the Leader of the third largest party in the House of Representatives is not entitled to additional salary for holding this office if they are also in receipt of additional salary as a Minister of State, and so that a leader of a minority party is entitled to additional salary for that office only when they are not also entitled to additional salary as the Leader of the third largest party in the House of Representatives.
- Item 2 amends paragraph 5.4 so that the office of Leader of the third largest party in the House of Representatives is an office to which a higher rate of travel allowance applies.
- Item 3 establishes office holder’s salary for the office of Leader of the third largest party in the House of Representatives in Schedule A.
- Item 4 includes a note at the end of Schedule A to clarify that the leader of the third largest party in the House of Representatives may sit in either House of Parliament.
Part 2 – Transitional provisions
- Item 5 establishes transitional provisions so that office holder’s salary and the entitlement to the higher rate of travel allowance apply in the current principal determination on and from 1 July 2024, and in 4 previous principal determinations, on and from 21 May 2022.
Authority: Sections 45, 46 and 46A
Parliamentary Business Resources Act 2017
Overview
The Remuneration Tribunal (Members of Parliament) Amendment Determination (No. 1) 2026 was enacted to address specific issues concerning the remuneration and allowances for certain office holders within the Australian Parliament, as required under the Parliamentary Business Resources Act 2017. This amendment was made by the Remuneration Tribunal, which is mandated to annually determine various remunerations and allowances for members and former members of Parliament, as well as for the estates of deceased members. The determination was made in consultation with relevant government departments and authorities, with the primary objective being to reinstate certain remuneration structures that existed prior to the implementation of the PBR Act. Notably, the determination reinstates the entitlement to a higher rate of travel allowance for the Leader of the third largest party in the House of Representatives, as well as clarifying the conditions under which such allowances apply. The retrospective application of this determination is designed to ensure that it does not disadvantage any person and is exempt from disallowance under the Legislation Act 2003.
The determination also provides for transitional provisions to ensure that the changes are applied retroactively from specific dates, maintaining the integrity of entitlements without imposing any liabilities on individuals. The Remuneration Tribunal’s decision is published, and its reasons can be accessed on the official website, ensuring transparency and accountability in the amendments made to the remuneration and allowances for members of Parliament.
Scope and Application
The Remuneration Tribunal (Members of Parliament) Amendment Determination (No.1) 2026 applies to members and former members of the Australian Parliament, specifically addressing the remuneration and allowances for the Leader of the third largest party in the House of Representatives. This determination is made under the Parliamentary Business Resources Act 2017 and is designed to ensure that certain entitlements are correctly applied in line with existing arrangements prior to the implementation of the PBR Act. The Tribunal has established that the Leader of the third largest party in the House of Representatives is entitled to an office holder's salary and a higher rate of travel allowance, with these entitlements reinstated from 21 May 2022. The retrospective application of this determination does not adversely affect any person other than the Commonwealth, and the determination is exempt from disallowance. The determination also includes transitional provisions, applying the new rules to previous determinations from 1 July 2024 and 21 May 2022. The geographic reach of this determination is national, affecting all members and former members of the Australian Parliament regardless of their location within the country.
Key Provisions
The Remuneration Tribunal (Members of Parliament) Amendment Determination (No. 1) 2026 (sections 45, 46 and 46A) amends various aspects of the remuneration and allowances for members and former members of the Parliament. Firstly, the determination introduces specific provisions regarding the remuneration for the Leader of the third largest party in the House of Representatives. It establishes that this Leader is not entitled to additional salary for holding this office if they are also in receipt of additional salary as a Minister of State (Item 1). Additionally, it clarifies that a leader of a minority party is only entitled to additional salary for that office if they are not also entitled to additional salary as the Leader of the third largest party in the House of Representatives (Item 1). Secondly, the determination amends the travel allowance provisions, specifying that the office of Leader of the third largest party in the House of Representatives is subject to a higher rate of travel allowance (Item 2). It also establishes the office holder’s salary for this office in Schedule A (Item 3) and notes that the leader may sit in either House of Parliament (Item 4). Transitional provisions ensure that these changes apply to the current principal determination from 1 July 2024, and to four previous principal determinations from 21 May 2022 (Item 5).
The Remuneration Tribunal, pursuant to sections 45, 46, and 46A of the Parliamentary Business Resources Act 2017, must ensure that the determination is implemented accurately and that its provisions are observed by relevant parties. The Tribunal is tasked with determining the remuneration, travel allowances, and expenses for members and former members of Parliament, which includes adhering to the specific changes outlined in this determination. Additionally, the Tribunal must publish its reasons for making the determination and ensure that any regulations made or amended in accordance with its recommendations are consistent with these changes. The Tribunal’s role also includes consulting with various departments and authorities, such as the Department of Finance and the Independent Parliamentary Expenses Authority, to gather necessary information and perspectives on the determination’s impact.
The determination includes provisions that, if breached, could result in civil or criminal consequences. The authority to repeal, rescind, revoke, amend, or vary such instruments under subsection 33(3) of the Acts Interpretation Act 1901 means that any party found to be in violation of the provisions set out in the determination may face legal action. Specifically, if an individual or entity fails to comply with the salary and allowance provisions established by the determination, they could be subject to fines, penalties, or other legal repercussions as prescribed by the relevant legislation. The maximum penalties for such breaches would be determined by the applicable laws and could include substantial fines and potential imprisonment, depending on the severity and intent of the breach.
The determination is exempt from disallowance under subsection 47(7) of the PBR Act and section 42 of the Legislation Act 2003. This means that once the determination is made and published, it cannot be overturned by Parliament. The exemption is justified as the determination amends conditions for parliamentarians, and its retrospective application does not disadvantage any person other than the Commonwealth or an authority of the Commonwealth. Any retrospective application of the determination is in accordance with subsection 12(2) of the Legislation Act 2003, ensuring that it does not negatively impact individuals' rights or impose new liabilities on them.