Defence Annual Report 2004-05 :: Chapter One - Overview :: Corporate Governance page 3 of 14

Chapter One - Overview > Corporate Governance > page 3 of 14

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Corporate Governance

Senior Executives

Changes

Mr Lloyd Bennett, Chief Finance Officer, resigned in March 2005. Mr Ken Moore was appointed as Acting Chief Finance Officer on 29 March pending the permanent filling of the position.

Air Vice-Marshal John Monaghan was appointed as the Chief Information Officer on 3 December 2004.

Major General Maurice McNarn was appointed as the Director Defence Intelligence Organisation on 24 January 2005.

Following a review of the Defence Health Service, Air Vice-Marshal Tony Austin was appointed as the Head, Defence Health Services on 17 May 2005.

Rear Admiral Graham Shirtley was appointed as the Surgeon General of the Australian Defence Force on 9 May 2005.

Remuneration for Period in Office

Remuneration for key Defence executives included in Table 1.16 below includes salary and allowances, accrued superannuation, redundancy payments, accrued leave, car parking, motor vehicle costs and fringe benefits tax. In addition, for ADF members, it includes the value of health and housing subsidies and a number of other miscellaneous allowances such as career transition training, separation and retention allowances.

Table 1.16 Senior Executive Remuneration 2004-05 ⁽¹⁾
Position and name	Remuneration $
Secretary
Mr Richard Smith	470,000 to 479,999
Chief of the Defence Force
General Peter Cosgrove	590,000 to 599,999
Chief Executive Officer of the Defence Materiel Organisation
Dr Stephen Gumley	650,000 to 659,999
Vice Chief of the Defence Force/Chief of Joint Operations
Vice Admiral Russ Shalders	380,000 to 389,999
Chief of Navy
Vice Admiral Chris Ritchie	370,000 to 379,999
Chief of Army
Lieutenant General Peter Leahy	380,000 to 389,999
Chief of Air Force
Air Marshal Angus Houston	310,000 to 319,999

Notes

The total remuneration for each of the senior executives differs due to different leave liability and superannuation arrangements.

Study of Parliamentary Process

In 2004-05, Defence continued the program of training to enhance the understanding of parliamentary principles and process for the Senior Executive Service and ADF star-ranked officers. During 2004-05, 72 Senior Executive Service and ADF star-ranked officers undertook the Department of the Senate seminar, Parliament, Privilege and Accountability, at Parliament House and Russell Offices.

As at 30 June 2005, 60 per cent of Senior Executive Service and ADF star-ranked officers had completed the program. An additional training session was held in September 2005.

Defence has identified a clear need for an awareness strategy that will assist all levels, especially those newly posted to Canberra, to understand the workings of the Government and its relationship with Defence. In 2004-05, Defence commenced the implementation of a broad Government Awareness Strategy focusing on dedicated orientation briefing sessions and development of an internal training course.