Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment) 1997 No. 418
EXPLANATORY STATEMENT
Statutory Rules 1997 No. 418
(Issued by authority of the Minister for Workplace Relations and Small Business)
Remuneration Tribunal Act 1973
Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment)
The Public Employment Placement Enterprise Limited (PEPEL) has been established as the new public provider of employment services. It is intended that PEPEL will compete with private and community sector organisations.
The Government determined that PEPEL will be established as a Government Business Enterprise in accordance with the Accountability and Ministerial Oversight Arrangements for Government Business Enterprises. It is appropriate therefore that the Board of PEPEL be ultimately responsible for determining the remuneration package for its Managing Director.
Section 13 of the Remuneration Tribunal Act 1973 (the Act) provides that the GovernorGeneral may make regulations for the purposes of the Act.
Subsection 5(2) of the Act provides that one of the functions of the Remuneration Tribunal is to provide advice to government business enter-prises in relation to terms and conditions (including remuneration and allowances) on which 'principal executive offices' are held.
Paragraph 3(4)(ra) of the Act enables an office to be declared by the regulations to be a ' principal executive office'. These offices are declared by the Remuneration Tribunal (Miscellaneous Provisions) Regulations (the Regulations) in Schedule 1 to the Regulations.
It was necessary to prescribe the position of Managing Director of PEPEL as a 'principal executive office' for the purposes of paragraph 3(4)(ra) of the Act, so the remuneration package of that office can be determined by the Board in consultation with the Tribunal.
The regulation amends Schedule 1 to the Remuneration Tribunal (Miscellaneous Provisions) Regulations to include the office of 'Managing Director, Public Employment Placement Enterprise Limited' as a 'principal executive office', for the purpose of enabling the Remuneration Tribunal to advise on the remuneration package for the office.
The regulation will commence on the date of gazettal.
Overview
The Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment) 1997 No. 418, issued under the authority of the Minister for Workplace Relations and Small Business, amends the Remuneration Tribunal (Miscellaneous Provisions) Regulations to address the specific remuneration needs of the Public Employment Placement Enterprise Limited (PEPEL). Enacted in 1997 by the Australian Parliament, these regulations aim to align PEPEL's remuneration practices with other government business enterprises by enabling the Board of PEPEL to determine the Managing Director's remuneration package in consultation with the Remuneration Tribunal. The policy objective is to ensure that PEPEL, as a government business enterprise, can compete effectively with private and community sector organisations, while maintaining appropriate oversight and accountability in the determination of executive remuneration. This amendment facilitates the Remuneration Tribunal's advisory role, allowing it to provide tailored advice on the remuneration package for the Managing Director of PEPEL.
Scope and Application
The Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment) 1997 No. 418 pertains to the Remuneration Tribunal Act 1973 and specifically targets the establishment of the Public Employment Placement Enterprise Limited (PEPEL) as a government business enterprise. This amendment is intended to ensure that the remuneration package for PEPEL's Managing Director is appropriately determined by the Board, in line with the Act’s stipulations. The regulation aims to classify the Managing Director’s position as a 'principal executive office', thereby enabling the Remuneration Tribunal to provide relevant advice on remuneration and conditions of employment. This amendment reflects the broader intent of the Act to oversee and regulate the remuneration of key executive roles within government business enterprises, ensuring that such roles are compensated in a manner consistent with their responsibilities and the enterprise's objectives. The regulation will be effective from the date it is gazetted, thereby immediately applying to PEPEL and its Managing Director.
Key Provisions
The key provisions of the Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment) 1997 No. 418, under the Remuneration Tribunal Act 1973, focus on the establishment of a new public provider of employment services known as the Public Employment Placement Enterprise Limited (PEPEL). As outlined in the explanatory statement, Section 13 of the Act empowers the Governor-General to make regulations for the purposes of the Act, and the regulation in question amends Schedule 1 to the Remuneration Tribunal (Miscellaneous Provisions) Regulations. Specifically, the regulation declares the office of 'Managing Director, Public Employment Placement Enterprise Limited' as a 'principal executive office' as per paragraph 3(4)(ra) of the Act. This amendment is intended to allow the Board of PEPEL to determine the remuneration package for its Managing Director in consultation with the Remuneration Tribunal, which has the function of providing advice to government business enterprises regarding the terms and conditions, including remuneration and allowances, of 'principal executive offices' as specified in subsection 5(2) of the Act.
The Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment) 1997 No. 418 imposes obligations on the Board of PEPEL, mandating that they are ultimately responsible for determining the remuneration package for the Managing Director of PEPEL. This obligation is facilitated by the declaration of the Managing Director's office as a 'principal executive office'. Additionally, the amendment requires the Board to consult with the Remuneration Tribunal when determining the remuneration package, ensuring that the advice and recommendations of the Tribunal are taken into account. The Remuneration Tribunal, in turn, has the obligation to provide relevant advice on the remuneration package in line with its statutory functions.
The Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment) 1997 No. 418 does not explicitly outline specific offences, penalties, or civil/criminal consequences for breach within its text. However, the implications of non-compliance with the Remuneration Tribunal's advice or failure to adhere to the regulatory requirements could potentially lead to legal challenges or disputes. While the specific penalties are not detailed in the regulation, breaches of statutory obligations could result in legal action under the relevant sections of the Remuneration Tribunal Act 1973 or other applicable legislation. The regulation will commence on the date of gazettal, thereby immediately imposing these obligations upon the relevant parties.