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Division 2A: Reserve capability payment

3.5.14A Purpose

The purpose of this Division is to provide a payment to selected members of the Reserves as an incentive to perform certain duties over a specified period. Selected members are used to fill gaps in capability that could not ordinarily be filled by a member of the Reserves.

3.5.14B Definitions

A Reserve capability payment is a payment made to a member of the Reserves as an incentive to perform certain duties over a specified period. The payment is in addition to the eligible member's rate of pay based on their rank and employment category. The payment of an employer support payment does not prevent payment of a Reserve capability payment.

3.5.14C Member eligible for Reserve capability payment

A member of the Reserves may be eligible for a Reserve capability payment under this Division.

Exception: The member of the Reserves must not be on continuous full time service.

3.5.14D Offer of a Reserve capability payment

  1. The CDF may offer a member of the Reserves a Reserve capability payment if satisfied all the following apply.

    1. A negative impact on service capability has been identified.

    2. The identified capability gap is unlikely to recover within three years without the use of the Reserve capability payment.

    3. The capability gap cannot be met by any of the following.

      1. Members of the Permanent Forces.

      2. Members of the Reserves on continuous full-time service.

      3. Members of the Reserves on Reserve service without an offer of a Reserve capability payment.

    4. The member has the fitness, qualifications, skills and attributes required for the duty to be performed.

    5. The member is able to complete the period of duty within their service obligation.

    6. Note: Permission to serve beyond the member's service obligation needs to be granted before an offer of period of duty for Reserve capability payment is made.

  2. The offer must include all of the following.

    1. The period of duty for Reserve capability payment including requirements about the pattern of days and hours the member must serve. The period is limited by both the following conditions.

      1. The period can be no more than three years in total.

      2. The period must not overlap with the period of an earlier accepted offer.

      Note: The period of duty for Reserve capability payment includes any period the member is taken to be attending for duty under section 3.2.13, provided the duty is for the purposes of the offer.

      See: Part 2 Division 1 section 3.2.13, Reserve member taken to be attending for duty

    2. The amount, number and timing of payments. These are limited by both the following conditions.

      1. The total maximum offer of payment must not exceed $100,000.

      2. No more than $50,000 may be offered to be paid for any 12 month period.

    3. The duty to be performed.

    4. Any additional conditions that must be met before the member becomes eligible for payment.

    5. Note: There may be consequences to the member if they fail to meet the terms set out in the offer.

      See: Section 3.5.14F, Cessation of the Reserve capability payment

  3. The following periods do not count as service towards completion of the period of duty under paragraph 2.a.

    1. Reserve service that is not for the purposes of the offer.

    2. Example: A member must attend for two days of mandatory Reserve training within the fixed period of duty. These days do not reduce the period under paragraph 2.a.

    3. Any period the member is imprisoned or in detention. This may be either under civilian criminal law or Service law.

3.5.14E Acceptance of an offer

  1. An eligible member may accept in writing an offer made under section 3.5.14D at any time until the latest of the following days.

    1. Twenty-eight days after the day the offer is made.

    2. If the member was deployed when the offer under paragraph a. was made — the day twenty-eight days after the day the member returns to Australia after a deployment.

    3. A later day the CDF decides is reasonable having regard to the member's circumstances.

  2. By accepting the offer the member agrees to all the terms made in that offer.

3.5.14F Cessation of the Reserve capability payment

  1. The CDF may end the arrangement under which the Reserve capability payment is being made at any time.

  2. If subsection 1 applies, payment to the member or repayment by the member is provided in the following table.

Reserve capability payment
Item If the CDF ended the Reserve capability arrangement... the member must repay... and if there is an outstanding amount to be paid...
1. for under-performance or disciplinary reasons, all payments received the member is not eligible to be paid any of that amount.
2. for reasons the CDF is satisfied the member could have avoided,
Example: Member went on an overseas holiday.
3. for reasons the CDF is satisfied the member could not have avoided,
Example: The member's partner dies.
an amount decided by the CDF up to the amount paid to the member an amount decided by the CDF.

Application to Reservists: Yes, in certain circumstances.




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