EXPLANATORY STATEMENT
STATUTORY RULES 1990 NO. , 230
Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment)
(Issued by the Authority of the Minister for Industrial Relations)
Section 5 of the Remuneration Tribunal Act 1973 (“the Act”) provides amongst others the following functions for the Tribunal:
determining the remuneration to be paid to the holders of public office; and
advising public statutory corporations, government business enterprises and other employing bodies in relation to terms and conditions (including remuneration and allowances) on which principal executive offices are to be held.
Subsection 3(4) of the Act provides a list of the offices referred to by the term public office and also a list of exclusions. Paragraph 3(4)(ra) of the Act operates to exclude principal executive offices from the ambit of public offices. A principal executive office is an office or appointment declared by regulations made for the purposes of paragraph 3(4)(ra) of the Act to be a principal executive office. The effect of so declaring an office or appointment is therefore to remove it from the determination making jurisdiction of the Tribunal and bring it into advisory jurisdiction.
Under section 13 of the Act, 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.
Accordingly a regulation has been made to amend the principal Regulations by declaring the following offices to be principal executive offices, for the purposes of paragraph 3(4) (ra) of the Act:
Chief Executive Officer of the Civil Aviation Authority
Chief Executive Officer of the Federal Airports
Corporation.
Overview
The Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment) 1996, issued under the authority of the Minister for Industrial Relations, was enacted to address the need to clarify the roles and responsibilities of the Remuneration Tribunal as established by the Remuneration Tribunal Act 1973. This piece of legislation aims to refine the scope of the Tribunal's jurisdiction by specifically identifying certain executive offices that fall outside the determination-making functions of the Tribunal, instead placing them under its advisory jurisdiction. The policy objective of this amendment is to ensure that the Tribunal can effectively advise public statutory corporations, government business enterprises, and other employing bodies on the appropriate terms and conditions for principal executive offices, thereby maintaining clarity and consistency in the remuneration and allowances for these positions.
The enacting body for these regulations is the Governor-General, who has the authority under section 13 of the Remuneration Tribunal Act 1973 to make regulations necessary or convenient for carrying out or giving effect to the Act. The amendment specifies that the offices of the Chief Executive Officer of the Civil Aviation Authority and the Chief Executive Officer of the Federal Airports Corporation are to be classified as principal executive offices, thereby explicitly excluding them from the Tribunal's determination-making jurisdiction.
Scope and Application
The Remuneration Tribunal Act 1973, as amended by the Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment) Statutory Rules 1990 No. 230, pertains to the determination of remuneration for public office holders and the advisory services provided by the Tribunal to various statutory entities. The Act applies to the determination of remuneration for holders of public office, while also extending its advisory role to public statutory corporations, government business enterprises, and other employing bodies concerning the terms and conditions, including remuneration and allowances, for principal executive offices. These offices are specifically excluded from the Tribunal's determination-making jurisdiction and are instead brought into its advisory jurisdiction. The amendment under scrutiny declares certain offices as principal executive offices, thereby removing them from the Tribunal's determination-making authority. The geographic and jurisdictional reach of the Act is national, given its Commonwealth application. The Act's application extends through subordinate regulations which may further define and adjust the scope of offices and entities it governs.
Key Provisions
The Remuneration Tribunal (Miscellaneous Provisions) Regulations (Amendment) primarily amend the principal regulations by declaring certain offices as principal executive offices under section 5 of the Remuneration Tribunal Act 1973. Specifically, the amendments identify the Chief Executive Officer of the Civil Aviation Authority and the Chief Executive Officer of the Federal Airports Corporation as principal executive offices (section 13). These offices, once declared as such, are removed from the determination-making jurisdiction of the Tribunal and brought into its advisory jurisdiction. This means the Tribunal can advise on the terms and conditions of these offices but cannot determine their remuneration.
The obligations imposed by these regulations are primarily on the Remuneration Tribunal, requiring it to provide advisory services rather than determinations for the remuneration and terms of employment for the specified principal executive offices. This change shifts the Tribunal's role from one of direct determination to one of consultation and advice, focusing on ensuring that the remuneration and terms for these offices are aligned with broader public policy and market standards, although without the authority to set specific remuneration levels.
Breaching the provisions of these regulations could result in significant consequences for those who do not adhere to the advisory role designated by the Act. While the specific penalties for non-compliance are not detailed in the explanatory statement, it is reasonable to infer that any failure to follow the designated roles and responsibilities could lead to administrative or legal actions under the Act. Such breaches might result in penalties that could include fines or other civil penalties, depending on the severity and impact of the non-compliance.