Remuneration Tribunal (Members of Parliament) Determination (No.1) 2023

Administered by Department of Finance

Legislation au F2023L00763 Not in force Legislative Instrument

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Explanatory Statement: Remuneration Tribunal (Members of Parliament) Determination (No.1) 2023

  1. The determination is made under the Parliamentary Business Resources Act 2017 (the PBR Act). Sections 45 and 46 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.
  2. 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. The Tribunal must publish its reasons for making a determination.
  3. The Tribunal also has functions under section 35 of the PBR Act relating to travel expenses, travel and motor vehicle allowances and other public resources. The Tribunal must inquire annually into travel expenses and travel allowances for domestic travel (except rates of travel allowances for domestic travel which it determines), 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

Review of Remuneration for Holders of Public Office

4.       The Tribunal’s obligations, under sections 14 and 45 of the PBR Act are to make determinations in respect of remuneration for members of Parliament at least once each year.  To meet these obligations under the PBR Act and the Remuneration Tribunal Act 1973, the Tribunal issued determinations on 13 June 2022 and at that time determined a 2.75 per cent adjustment to remuneration for all offices in its jurisdiction (including members of Parliament).

5.       In complying with its obligations to make new determinations the Tribunal takes the opportunity to consider whether any general increase to remuneration for offices might be warranted.  In conducting this review the Tribunal takes account of economic conditions in Australia, past and projected movements in remuneration in the public and private sectors (including the Australian Public Service), as well as the outcomes of reviews of public offices completed by the Tribunal.  In order to inform its conclusions the Tribunal draws upon authoritative external sources such as the published material available from the Government, the Reserve Bank of Australia and the Australian Bureau of Statistics as well as trends in public and private sector remuneration.  The Tribunal is also obliged by the Act to consider the Annual Wage Reviews of the Fair Work Commission. 

6.       The Tribunal did not receive any submissions on this matter.

7.       In order to meet its legislative obligations to make a decision by 12 June 2023, the Tribunal met on 8 June 2023 and decided to defer any adjustment in remuneration for offices in its jurisdiction.  The Tribunal has agreed to meet again in August 2023 to consider further data, and to determine whether any adjustment is appropriate for offices within its jurisdiction.  A statement setting out the Tribunal’s reasons for decision is available at www.remtribunal.gov.au.

8.       Remuneration Tribunal (Members of Parliament) Determination (No.1) 2023 formalises the Tribunal’s decision for members of Parliament.

9.       Consultation on this outcome was considered unnecessary given the matters considered by the Tribunal in making its decision.

Inquiry into Parliamentary Remuneration and Expenses

10.  On 8 June 2023, the Tribunal completed its inquiries in relation to the remaining remuneration provisions (including electorate allowance) for current members of Parliament, as well as its annual obligation under section 46 of the PBR Act to inquire into and determine the allowances and expenses payable to former members of Parliament.  The Tribunal concluded that no changes to these provisions will be made at this time.

11.  There was no consultation on these matters given there were no changes to the provisions contained in Remuneration Tribunal (Members of Parliament) Determination 2022.

12.  Remuneration Tribunal (Members of Parliament) Determination (No.1) 2023 makes no changes to the provisions in the 2022 Determination (as amended).  The Tribunal’s Reasons for Determination are available at www.remtribunal.gov.au.

13.  The determination succeeds and revokes in full Remuneration Tribunal (Members of Parliament) Determination 2022. 

Retrospectivity

14.  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.

Exemption from disallowance

15.  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.

16.  Exemption from disallowance is appropriate in the context of this instrument, as it amends the entitlements of Senators and Members of the House of Representatives.

The power to repeal, rescind and revoke, amend and vary

17.  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:

18.  The determination deals with the remuneration of members of Parliament, the rates of travel allowance payable to such members, and the allowances and expenses to be paid to former members.  The remuneration, allowances and expenses are to be paid out of the public money of the Commonwealth. 

PART 1 – LEGAL MATTERS AND EXPLANATION OF TERMS

19.  Part 1 specifies the authority for and the commencement date of the determination and specifies that the determination supersedes Remuneration Tribunal (Members of Parliament) Determination 2021.

20.  Part 1 also contains definitions of certain words and terms used in the determination, including the definition of a ‘Luxury car’, the value of which exceeds the luxury car tax threshold (for fuel efficient cars) mentioned in subsection 25-1 (3A) of the A New Tax System (Luxury Car Tax) Act 1999. This Act is available online at https://www.legislation.gov.au/Details/C2017C00069.

PART 2 – REMUNERATION OF MEMBERS: SALARIES AND ELECTORATE ALLOWANCE

21.  Part 2 sets out the base salary for senators and members of the House of Representatives, the additional salaries to be paid to parliamentary office holders and Ministers, the portion of base salary and additional salary that is not to be taken into account in defining the parliamentary allowance and salary for the purposes of the Parliamentary Contributory Superannuation Act 1948, and the electorate allowances applying from 1 July 2022.

22.  The provisions of this Part otherwise remain unchanged from those contained in the previous determination.

PART 3 – REMUNERATION OF MEMBERS: OTHER REMUNERATION

23.  Part 3 sets out other remuneration for senators and members of the House of Representatives under paragraphs 14(4)(a), (b) and (c) of the PBR Act.  The remuneration is in the form of one or more private plated vehicles, or an allowance in lieu, and reimbursement of the costs of internet and telephone services at private residences.

24.  The provisions of this Part remain unchanged from those contained in the previous determination.

PARTS 4 – ALLOWANCES AND EXPENSES OF FORMER MEMBERS

25.  Part 4 provides post retirement travel expenses and resettlement allowance for former members (within the meaning of the PBR Act) under section 15 of that Act.

26.  The provisions of this Part remain unchanged from those contained in the previous determination.

PARTS 5 – RATES OF AUSTRALIAN TRAVEL ALLOWANCE FOR TRAVEL WITHIN AUSTRALIA

27.  Part 5 specifies rates of travel allowance for travel within Australia, for the purposes of section 10 of the PBR Regulations and subsection 31(2) of the PBR Act. These rates apply to any member (see definition in the PBR Act, quoted in the note to clause 1.3).  This term includes persons who in certain circumstances hold, or are taken to hold an office, but are not senators or members of the House of Representatives.

28.  The provisions of this Part remain unchanged from those contained in the previous determination.

PARTS 6 – PRIVATE VEHICLE ALLOWANCE

29.  Part 6 specifies the rate of private vehicle allowances for the purposes of sections 12, 27 and 28 of the PBR Regulations and subsection 31(2) of the PBR Act.

30.  The provisions of this Part remain unchanged from those contained in the previous determination.

PART 7 – TRANSITIONAL PROVISIONS

31.  Part 7 maintains the transitional provisions for private plated vehicles contained in the 2021 Determination.

SCHEDULES

32.  Schedule A provisions remain unchanged from those contained in Schedule A of the previous determination.

33.  Schedule B provisions remain unchanged from those contained in Schedule B of the previous determination.

Authority: Sections 45 and 46

Parliamentary Business Resources Act 2017

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Overview

The Remuneration Tribunal (Members of Parliament) Determination (No.1) 2023 was enacted under the Parliamentary Business Resources Act 2017, and it addresses the annual review and determination of remuneration and allowances for members of Parliament. The Remuneration Tribunal, established under the Remuneration Tribunal Act 1973, is responsible for making these determinations. The primary policy objective is to ensure that the remuneration and allowances for members of Parliament are periodically reviewed and adjusted in line with economic conditions, public and private sector remuneration trends, and other relevant factors. The Tribunal's decisions aim to maintain fair and competitive compensation for parliamentary roles while considering the broader economic environment and the outcomes of previous reviews. The determination formalises the Tribunal’s decision to defer any adjustment in remuneration for offices within its jurisdiction until further data is considered, while maintaining existing provisions for current and former members of Parliament.

Scope and Application

The Remuneration Tribunal (Members of Parliament) Determination (No.1) 2023 applies to members and former members of the Parliament, including Senators and members of the House of Representatives, as well as to certain other persons who may hold office in a capacity that entitles them to the same remuneration and allowances as members of Parliament. The determination sets out the remuneration, allowances, and expenses applicable to these individuals under the Parliamentary Business Resources Act 2017. The determination covers the base salary, additional salaries for certain office holders, electorate allowances, other forms of remuneration such as vehicle allowances, and the allowances and expenses payable to former members. Importantly, the determination does not include any changes to the provisions set forth in the 2022 determination, maintaining continuity in the entitlements of the affected individuals. The geographic reach of the Act is national, as it pertains to the remuneration and allowances of federal parliamentarians in Australia. The Act is an instrument made under the PBR Act and is exempt from disallowance as specified under section 47(7) of the PBR Act. The Act does not apply retroactively in a manner that affects the rights of individuals to their disadvantage and does not impose any new liabilities. The Tribunal retains the authority to amend or vary the determination as necessary, in accordance with the powers conferred by the Acts Interpretation Act 1901.

Key Provisions

The Remuneration Tribunal (Members of Parliament) Determination (No.1) 2023, made under the Parliamentary Business Resources Act 2017, sets out the remuneration for members and former members of Parliament, including salaries, travel allowances, and post-retirement benefits. Specifically, section 45 of the PBR Act mandates the Tribunal to determine the remuneration for members of Parliament at least once a year, while section 46 requires the Tribunal to determine the allowances and expenses payable to former members. The Tribunal's determination must be based on a thorough review of economic conditions, public and private sector remuneration trends, and relevant authoritative sources. The obligations under the Act require the Remuneration Tribunal to annually review and determine the remuneration, travel allowances, and expenses for current and former members of Parliament. The Tribunal must consider various factors, including economic conditions, remuneration trends in both the public and private sectors, and authoritative sources such as the Fair Work Commission's Annual Wage Reviews. The Tribunal is also required to publish its reasons for any determinations made. Additionally, the Tribunal has an annual obligation to inquire into travel expenses and allowances for domestic travel and may be asked to review other matters by the Special Minister of State. Regulations must be made or amended in line with the Tribunal's recommendations. Failure to comply with the requirements set out in the Remuneration Tribunal (Members of Parliament) Determination (No.1) 2023 may result in civil or criminal consequences, although the legislation does not specify particular offences or penalties. However, given the nature of the determinations, non-compliance could potentially lead to disputes over the remuneration and allowances due to members and former members of Parliament, which might be subject to judicial review or other legal challenges. The Tribunal's decisions are subject to scrutiny, and any adverse findings could impact the enforceability of the determinations. The determination does not provide for any retrospective application that would disadvantage individuals other than the Commonwealth or its authorities, as per subsection 12(2) of the Legislation Act 2003. Furthermore, the determination is exempt from disallowance under subsection 47(7) of the PBR Act. This exemption is appropriate given that the determination amends the entitlements of Senators and Members of the House of Representatives. The Tribunal has the power to repeal, rescind, revoke, amend, or vary any instrument under subsection 33(3) of the Acts Interpretation Act 1901, ensuring flexibility in addressing any future changes in the remuneration and allowances framework.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.