Part 2: Hardship allowance

 

TAX ALERT: PACMATE Annex 3.B, item 137.

16.2.1    Purpose
16.2.2    Member this Part applies to
16.2.3    Qualifying period
16.2.4    Amount of hardship allowance
16.2.5    Period of duty
16.2.5A  Provisional hardship locations
16.2.6    When member is not eligible for hardship allowance
16.2.7    Dual location
16.2.8    Absence from location

16.2.1    Purpose

 

Some locations are harder to live in than Australia. Hardship allowance makes up for difficult living conditions at the location.

16.2.2    Member this Part applies to

1.

This Part applies to a member who meets either of the following conditions.

 

a.

They are serving at a location shown in Annex 16.A.

 

 

See: Annex 16.A, Hardship post conditions of service

 

b.

They are serving in a provisional hardship location.

 

 

See: Clause 16.2.5A, Provisional hardship locations

2.

When a member leaves a long-term hardship posting location with a period of leave credit that accrued while the member was at the location, the CDF may authorise a payment of hardship allowance. This payment is made in the same manner that overseas living allowance is paid when the member takes that period of leave.

 

Persons who can make the decision under subclause 16.2.2.2 on behalf of the Secretary/CDF:

A person working in the Personnel Administration Centre in Southern Victoria who is:

-       Overseas Administration Team Leader

-       Personnel Administration Manager Specialist

-       Civilian and Overseas Personnel Administration Centre Manager

-       Manager Personnel Administration Centre

16.2.3    Qualifying period

1.

This Part only applies if the total of these periods is 28 days or more.

 

a.

The period the member has been on duty at the location.

See: Chapter 13 Part 3, Travel costs for short-term duty overseas

 

b.

An earlier period for which the member was entitled to deployment allowance or international campaign allowance. The earlier period must have been continuous with the period at the hardship location.

Note: However, deployment allowance and international campaign allowance are payable under Chapter 17, not this Chapter.

2.

Some members are only entitled to a cost of living adjustment and not full overseas living allowance. These members are not entitled to hardship allowance.

See: Chapter 15 Part 2 Division 2 clause 15.2.12, Dual entitlement

3.

Despite subclause 1, a member assigned for short-term duty with any of the following peacetime operations is not required to serve the 28-day qualifying period before becoming eligible for hardship allowance.

 

a.

...

 

b.

...

 

c.

OPERATION PAKISTAN ASSIST.

 

d.

OPERATION RAMP.

4.

Despite subclause 1, a member assigned for short-term duty with either of the following peacetime operations is required to serve a 24-hour qualifying period before becoming eligible for hardship allowance.

 

a.

OPERATION SAMOA ASSIST.

 

b.

OPERATION PADANG ASSIST.

16.2.4    Amount of hardship allowance

1.

The amount of hardship allowance a member is entitled to depends on both these things.

 

a.

The hardship location grade of the member's location.

 

b.

If the member is an accompanied member.

2.

This table shows the amount of hardship allowance a member is entitled to:

 

Item

Hardship location grade

Rate (AUD per year)

Unaccompanied member

Accompanied member

1.

A

Nil

 

Nil

 

2.

B

Nil

 

Nil

 

3.

C

7,781

 

13,226

 

4.

D

10,371

 

17,631

 

5.

E

15,371

 

25,631

 

6.

F

19,214

 

32,039

 

7.

G

29,470

 

Nil

 

 

 

Example: For item 7 in the table, a member would get AUD29,470 annually for duty in a location with a hardship grade G. No accompanied rate is prescribed as the member would not take their family with them to a location with such a high level of hardship. The tsunami-affected areas in Aceh province are an example of a location where a hardship grade G has been determined.

 

 

Note: These rates are subject to income tax.

16.2.5    Period of duty

 

The period of duty for a member is the period beginning on the day the member starts duty at the hardship location, and ending on the day the member finishes duty at the location, whether or not those days are weekends, public holidays or weekdays.

16.2.5A  Provisional hardship locations

1.

The CDF may decide that a location not listed in Annex 16.A is a hardship location.

2.

If a decision is made under subclause 1, the CDF must also make the following decisions for the location.

 

a.

Approve an appropriate hardship location grade for the location.

 

 

See: Part 1 clause 16.1.7, Basis for hardship package

 

b.

Fix a period of up to three months in which the provisional grade applies.

 

c.

Decide whether to waive the qualifying period under clause 16.2.3.

 

 

See: Clause 16.2.3, Qualifying period

3.

For decisions under this clause, the CDF must consider all of the following criteria.

 

a.

Whether the ADF is required to provide humanitarian aid, disaster relief or reconstruction assistance.

 

b.

The level of assistance required of the ADF.

 

c.

The level of hardship to be experienced.

 

d.

The nature of duties expected.

 

e.

The expected duration of duty at the location.

 

f.

Any other factors relevant to the location.

4.

Leave and travel leave provisions do not apply under this clause.

16.2.6    When member is not eligible for hardship allowance

 

Hardship allowance is not payable to a member for a period when any of the following conditions applies.

 

a.

They are not entitled to salary.

 

b.

They are absent from the location, except as provided in clause 16.2.8.

 

c.

They are entitled to an allowance for an overseas deployment and the member's partner is not living in a hardship location where the member was on long-term posting before their deployment.

16.2.7    Dual location

 

If a member is eligible for a hardship allowance for more than one location at the same time, they will only receive the hardship allowance paid at the highest applicable rate.

16.2.8    Absence from location

 

This table shows the hardship allowance payable when a member is temporarily absent from their location on duty or recreation leave.

 

Item

If a member...

then they are...

1.

is on a long-term posting

entitled to hardship allowance for the first 28 days of a temporary absence.

2.

is on short-term duty

not entitled to hardship allowance.

3.

has dependants remaining at the location while they are absent

entitled to hardship allowance while the member is absent.

 

PACMAN                                                 AL12 (October 2009)                                                Chapter 16 – Part 2 – 1