EXPLANATORY STATEMENT
Select Legislative Instrument 2007 No. 31
Minute No. 05 of 2007 – Minister for Transport and Regional Services for the Minister for Employment and Workplace Relations
Subject - Remuneration Tribunal Act 1973
Remuneration Tribunal (Miscellaneous Provisions) 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 Remuneration Tribunal (Miscellaneous Provisions) Amendment Regulations 2007 (No. 1) exclude the Inspector of Transport Security from the jurisdiction of the Tribunal for a period of time. Subsection 3(4) of the Act defines ‘public office’, and lists a number of offices or appointments which are not to be treated as a ‘public office’. In particular, paragraph 3(4)(v) of the Act provides in part that a reference to a ‘public office’ does not include an appointment which has been prescribed for the purposes of the paragraph. The effect of this provision is that designated appointments may be removed from the jurisdiction of the Tribunal.
Regulation 5 of the Remuneration Tribunal (Miscellaneous Provisions) Regulations 1976 prescribes offices and appointments for the purposes of paragraph 3(4)(v) of the Act. The Remuneration Tribunal (Miscellaneous Provisions) Amendment Regulations 2007 (No. 1) prescribe the Inspector of Transport Security until 31 December 2007. The effect of this is to exclude the remuneration of the Inspector of Transport Security from determination by the Tribunal until after 31 December 2007.
Currently, the Inspector of Transport Security is employed under contract with the Australian Government Department of Transport and Regional Services. The Inspector of Transport Security Act 2006, which received Royal Assent on 7 December 2006, provides a statutory basis for the Inspector of Transport Security. The exclusion of the Inspector of Transport Security’s remuneration from determination by the Tribunal allows for a smooth transition from the current contractually-based arrangements to a statutory basis for the employment of the Inspector.
The Act specifies no conditions that need to be met before the power to make the Regulations may be exercised.
The Regulations are a legislative instrument for the purposes of the Legislative Instruments Act 2003.
The Regulations will commence on the day on which section 25 of the Inspector of Transport Security Act 2006 commences (a day to be fixed by Proclamation or six months after that Act received Royal Assent).
The Inspector of Transport Security Act 2006 was drafted in consultation with Australian Government agencies, state and territory governments and key industry stakeholders, who were made aware that several operational regulations would be required. For this reason no additional consultation was carried out for the Remuneration Tribunal (Miscellaneous Provisions) Regulations 2007 (No. 1), particularly as the Regulations will affect the Office of the Inspector of Transport Security and not external bodies.
Authority: Section 13 of the Remuneration Tribunal Act 1973
Overview
The Remuneration Tribunal Act 1973 was enacted to establish the Remuneration Tribunal as an independent statutory authority responsible for reporting on and determining the remuneration, allowances, and entitlements of key Commonwealth office holders, including members of Parliament, judges, and holders of public offices. This Act aimed to address the need for a consistent and transparent mechanism to review and set the compensation for these critical roles within the federal government. The Remuneration Tribunal (Miscellaneous Provisions) Amendment Regulations 2007 (No. 1), made under the authority of Section 13 of the Act, were introduced to temporarily exclude the Inspector of Transport Security from the Tribunal's jurisdiction. This exclusion was necessary to facilitate a seamless transition from the Inspector’s existing contractual employment arrangements to a statutory basis, as established by the Inspector of Transport Security Act 2006. The policy objective behind these regulations was to ensure a smooth transition without immediate interference from the Tribunal, thereby maintaining the integrity of the remuneration process during this period of change.
Scope and Application
The Remuneration Tribunal Act 1973 establishes the Remuneration Tribunal, an independent statutory authority responsible for 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, and most full-time and part-time holders of public offices and Principal Executive Offices. The Act provides for the Governor-General to make regulations to prescribe matters required or necessary for carrying out or giving effect to the Act, with Section 13 authorising such regulations. The Remuneration Tribunal (Miscellaneous Provisions) Amendment Regulations 2007 (No. 1) exclude the Inspector of Transport Security from the jurisdiction of the Tribunal, thereby excluding the Inspector's remuneration from determination by the Tribunal until after 31 December 2007. This exclusion allows for a smooth transition from the current contractually-based arrangements to a statutory basis for the employment of the Inspector of Transport Security under the Inspector of Transport Security Act 2006. The Regulations will commence on the day on which section 25 of the Inspector of Transport Security Act 2006 commences, as fixed by Proclamation or six months after that Act received Royal Assent.
Key Provisions
The Remuneration Tribunal (Miscellaneous Provisions) Amendment Regulations 2007 (No. 1) are primarily concerned with the exclusion of the Inspector of Transport Security's remuneration from the jurisdiction of the Remuneration Tribunal for a specified period (Reg. 5). These regulations amend the Remuneration Tribunal (Miscellaneous Provisions) Regulations 1976 by prescribing the office of the Inspector of Transport Security under subsection 3(4)(v) of the Remuneration Tribunal Act 1973, thereby excluding it from the definition of 'public office'. This exclusion remains in effect until 31 December 2007, during which time the Inspector's remuneration will not be determined by the Tribunal (Reg. 5). The rationale behind this exclusion is to facilitate a seamless transition from the Inspector's current contractual employment arrangements to a statutory basis, as provided for by the Inspector of Transport Security Act 2006.
Under these Regulations, there are no explicit obligations imposed on the parties or entities it governs. However, the exclusion of the Inspector of Transport Security's remuneration from the Tribunal's jurisdiction necessitates compliance with the terms of the Inspector of Transport Security Act 2006, ensuring that remuneration and other entitlements are managed according to the statutory framework established by that Act. The Regulations ensure that during the transition period, the Inspector's remuneration will be governed by the provisions of the Inspector of Transport Security Act 2006 rather than the Remuneration Tribunal Act 1973.
The Remuneration Tribunal (Miscellaneous Provisions) Amendment Regulations 2007 (No. 1) do not directly create new offences or penalties. However, any breaches of the Inspector of Transport Security Act 2006 or the Remuneration Tribunal Act 1973, which could indirectly result from misinterpretation or non-compliance with these Regulations, may lead to civil or criminal consequences as provided under the respective Acts. For instance, the Inspector of Transport Security Act 2006 may contain provisions for disciplinary action or legal remedies in case of non-compliance with its terms. Similarly, any actions taken under the Remuneration Tribunal Act 1973, such as improper determination of remuneration, could lead to penalties as outlined in that Act. It is important to note that the specific penalties would be determined by the applicable statutes and the nature of the breach.