Defence

Vice Chief of the Defence Force

Review clarifies staff allowance issues

Parliamentary Secretary to the Minister for Defence, The Hon. Teresa Gambaro MP

By Gai Brodtmann

The Australian Defence Force Cadets now has a clear picture on the way forward for the Cadet Forces Allowance following a review commissioned by the Directorate of Defence Force Cadets (DDFC) at the request of the Parliamentary Secretary, Ms Teresa Gambaro.

The review came in response to perceived inequities in the payment of the allowance raised by volunteer Cadet Officers and Instructors through letters and representations made in 2004.

The review looked at the equitable payment of the Cadet Forces Allowance across the three Cadet organisations, and found that any perceived inequities had less to do with the allowance itself and more to do with governance, management and funding arrangements.

"I was keen to ensure that the allowance issue, which was causing some distress amongst Cadet Officers and Instructors, was dealt with in a responsive and comprehensive way.

That is why I commissioned the review of Cadet Forces Allowance late last year," says Parliamentary Secretary, Teresa Gambaro. "The review and its recommendations have many benefits.

However, for me, the real benefit comes from the fact that we have been able to gain some clarity about the crux of the allowance issue.

"By identifying the fact that this is a management and governance issue, not an allowance issue per se, the DDFC and the Services can now work out constructive ways forward that will ensure they meet their youth development objectives for Cadets and Cadet Officers and Instructors, while equitably distributing payments and living within their means."

Head of Defence Force Cadets, Air Vice Marshal David Dunlop

Compensation

"The allowance, which is based on the equivalent Reserve salary rate, compensates volunteer Cadet Officers and Instructors for the considerable amount of time they spend supporting Cadets," says Head, Cadet Policy, Air Vice Marshal David Dunlop.

"Cadet Officers and Instructors are remunerated for approved activities for up to 48 full days per year. However, not every activity that Cadet Units wish to conduct attracts remuneration."

Considerations

As the three Services fund the Cadet Forces Allowance, the process is managed differently across Navy, Army and Air Force Cadets to meet the requirements specified by the Service Chiefs. Therefore, the review had to ensure its recommendations were:

• affordable for the Services;
• able to be implemented within the Navy, Army and Air Force Cadets for consistency across regions;
• simple and straightforward, with minimal management overheads;
• easily undertaken, particularly for the budget planning process;
• equitable, particularly for any proposed reward schemes; and
• flexible for management.

Most importantly, the review had to propose an allowance system that compensated the contribution made by Cadet Officers and Instructors, but not necessarily each and every day they take part.

Recommendations

In making its recommendations on governance, management and funding issues, the review found that the annual ceiling allocation of 48 days was generally adequate for running Cadet activities.

The recommendations, all of which were accepted by the Parliamentary Secretary and are currently being implemented, were to:

• better articulate Defence's partnership with the volunteer Cadet Community;
• improve Defence communication with the Cadet Community and manage expectations;
• examine the feasibility of providing non-financial rewards for exceptional service;
• confirm that the present limits on the allowance expressed in terms of days represent an adequate level within Defence's overall contribution to the cost of running the Cadet organisations, but provide some flexibility to Service Chiefs to reward exceptional service;
• improve management information available to Cadet headquarters and regional commanders; and
• manage the release of the review and the expectations raised in the Cadet Community in establishing the review.

Response to recommendations

Air Force cadet Rebecca Killian

Some of the recommendations of the review fell within the responsibility of the single Services, while others were of a tri-Service nature.

In response to the single Service recommendations:

• Navy is:
  • continuing to fund 48 days allowance for all Navy Cadet Officers and Instructors. Navy has consistently allocated sufficient funding to cover the full requirement for Cadet Forces Allowance and will do so again in 2005-06.
• Army is:
  • providing $4.1 million in funding for the 2005-6 allowances;
  • more clearly specifying the mission, goals, objectives and activities of Army Cadets, including the organisation's voluntary nature;
  • identifying activities as either mandatory or optional. Resources will be allocated to the mandatory
  • specifying the Authorised Establishments at the Cadet Unit and headquarters level;
  • allocating the allowance according to position and task, rather than worn rank; and
  • enhancing communication.
• Air Force is:
• providing $3.5 million in funding for the 2005-06 allowances;
• restructuring Air Force Cadet staffing and budget;
• revising the Authorised Establishments;
• revising the personnel management tools;
• approving an 18 month rolling activities program;
• establishing a new merit- and performance-based promotions system for Air Force Cadet Officers and Instructors; and
• forming an Air Force Cadet Executive Council to improve communication, engage in strategic-level dialogue and develop a partnership with Air Force Cadets.

The opportunities provided to Cadets are possible thanks to the thousands of qualified volunteer Cadet Officers and Instructors throughout Australia.

In response to the tri-Service recommendations, the DDFC is now:

• better articulating the Defence partnership with the Cadet Community through improved communications under a tailored communication strategy;
• investigating the creation of a non-financial "rewards and recognition" scheme;
• confirming the present limits on the allowance through negotiations to amend the existing compensation system (as set out in Determination 23/1999); and
• improving management information through CadetNet's Cadet Online Administration System, which is expected to be available in early 2006.

"The review has been a constructive and beneficial process for the DDFC and the three Services," says AVM Dunlop.

"It has clearly identified the areas of concern to Cadet Officers and Instructors and clarified the way forward.

"The DDFC and the three Services have listened and responded to Cadet Officers and Instructors and we are now making changes across the board - on the allowance, recognition, management and governance fronts."

[ top of page ]