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1. |
This Division provides for a bonus scheme for members in prescribed ranks and employment categories. The payment encourages them to complete four years of further service. |
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2. |
The bonus scheme has two features. |
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a. |
A commitment payment. |
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b. |
A completion bonus. This is paid after a total of four years of effective service. |
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1. |
For the purpose of this Division, effective service means service that meets all these conditions. |
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a. |
It is continuous full time service. |
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b. |
It is paid. Exception: Unpaid leave of less than 21 calendar days. |
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c. |
It is not ineffective service under subclauses 2 or 3. |
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2. |
Leave or other events may not be effective service. This table shows what events will have an effect. |
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Item |
Activity |
Effect |
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1. |
Part time leave without pay |
The unpaid component of a part-time leave without pay working pattern does not count as effective service.
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2. |
Leave at full pay Examples: Recreation leave, full pay long service leave |
The whole period counts as effective service.
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3. |
Unpaid leave for less than 21 calendar days Examples: Leave without pay, maternity leave without pay |
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4. |
Unpaid leave for 21 calendar days or more Examples: Leave without pay, maternity leave without pay |
The whole period does not count as effective service.
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5. |
Absence without leave |
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6. |
Imprisonment, detention or suspension from duty without pay |
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7. |
Leave at half pay Example: Long service leave at half pay |
Half the period of the leave counts as effective service.
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8. |
An undertaking for further service, under the Military Superannuation and Benefits Act 1991. |
The whole period does not count as effective service. |
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9. |
A period when the member is discharging another undertaking for further service. Exception: An undertaking for further service associated with a promotion. |
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10. |
A period when the member is discharging another return of service obligation, and Item 11 of this table does not apply. |
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11. |
A period when the member is discharging a return of service obligation, that is associated with relevant training.
In this table, relevant training means professional or trade training that is directly relevant to the member's occupation.
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For this member, these periods are effective service. a. The period of the training. b. The period of the return of service obligation. |
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3. |
The CDF may determine whether another period does not count as effective service. The CDF must have regard to whether the member is available for posting, training or overseas deployments, to meet the staffing needs of the Army. Related information: Defence Instruction (Army) Pers 47-11 Career Management of Soldiers in the Australian Regular Army (ARA) and Army Reserve (ARES) |
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4. |
Periods that are not effective service do not count towards the period the member serves under this Division. Example: The member has an undertaking for further service to repay, which has seven months to run. The member serves the undertaking first, and then begins to serve under the scheme. It takes the member four years and seven months to serve a four year commitment. |
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5. |
Events in items 8, 9 and 10 of the table in subclause 2 must be served before an undertaking to serve under this Division. |
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6. |
Effective service may be served at the same time as the member serves towards another retention or completion bonus authorised under this Part. Exception: Where the other scheme provides for another outcome. |
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Persons who can make the decision under subclause 3.5.48.3 on behalf of the CDF: Commanding Officer Soldier Career Management Agency |
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This Division applies to a member who meets both these conditions at the time the member is offered entry to the bonus scheme. See: Clause 3.5.51, Offers to join the bonus scheme |
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a. |
The member must hold the rank of Corporal or Sergeant in the Army. Exception: A member who holds a temporary rank of Corporal. |
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b. |
The member must be entitled to salary for a pay category described in this table, under Part 2 of Schedule B.11 of DFRT Determination No. 15 of 2008, Salaries. |
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Item |
Pay category |
Group |
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1. |
Operator Command Support Systems |
Group A |
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2. |
Supervisor Engineering Services |
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3. |
Technician Telecommunication Systems |
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4. |
Electrician |
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5. |
Plumber |
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6. |
Linguist Intelligence Special Duties |
Group B |
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7. |
Analyst Intelligence Operations |
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See: Part 1 Schedule B.11 Part 2, Other Rank pay grades |
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This Division does not apply to a member who is in any of these situations. |
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a. |
They are a member of the Reserves. |
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b. |
They are serving an initial minimum period of service. |
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c. |
They are commissioned as an officer. |
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1. |
The CDF may offer a member entry to the bonus scheme under this Division. |
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2. |
Offers to join the bonus scheme may only be made in the period described in this table that applies to the member. |
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Item |
For a member in... |
offers may be made... |
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1. |
a Group A pay category |
between 1 December 2005 and 31 May 2006 inclusive. |
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2. |
a Group B pay category |
between 1 February 2006 and 31 July 2006 inclusive. |
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Related Information: Group A and B pay categories are described in the table in paragraph 3.5.49.b. |
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3. |
The offer must be made for a four-year period. |
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Persons who can make the decision under subclause 3.5.51.1 on behalf of the CDF: Commanding Officer Soldier Career Management Agency |
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1. |
The member may accept an offer by taking both of these actions. |
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a. |
Signing the relevant acceptance form. |
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i. |
For members in a Group A pay category, the form is at Part B of Annex 3.5.G. |
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ii. |
For members in a Group B pay category, the form is at Part B of Annex 3.5.H. |
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b. |
Providing the signed form to CDF by one of these dates. |
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Item |
For a member in... |
if the offer was made during the period... |
the form must be received by... |
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1. |
a Group A pay category |
1 December 2005 to 28 February 2006 |
31 May 2006. |
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1 March 2006 or later |
three months after the date of the offer. |
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2. |
a Group B pay category |
1 February 2006 to 31 July 2006 |
31 October 2006.
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1 August 2006 or later |
three months after the date of the offer. |
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Related Information: Group A and B pay categories are described in the table in paragraph 3.5.49.b. |
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c. |
The CDF may determine that a member may provide their acceptance form to the CDF by a later date than provided by paragraph b. The CDF must have regard to the reasons that prevented the member from accepting earlier. |
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2. |
If the member accepts, the member is taken to have accepted the offer on the date the offer is made. |
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3. |
In accepting the offer, the member is agreeing to serve as an eligible member under this Division. |
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Persons who can make the decisions under paragraph 3.5.52.1.b and paragraph 3.5.52.1.c on behalf of the CDF: Commanding Officer Soldier Career Management Agency |
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A member who joins the scheme must serve in the Army until they complete four years of further effective service under this Division. |
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1. |
A member may choose to leave the scheme. The choice must be made in writing. |
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2. |
A member who chooses to leave the scheme is released from the obligation to give future service under clause 3.5.53. See: Subclause 3.5.55.2 for the effect leaving the scheme has on the commitment payment. |
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1. |
When a member accepts an offer under clause 3.5.52 the member is entitled to a $10,000 commitment payment. |
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2. |
A member must repay the whole commitment payment to the Commonwealth if the member meets both these conditions. |
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a. |
At the time of taking one of the actions in subclause b, the member has served less than one year of effective service since the day they were accepted into the scheme under clause 3.5.52. |
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b. |
The member takes any of these actions. |
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i. |
The member leaves the Army. Exceptions: See subclause 3. |
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ii. |
The member leaves the scheme. See: Clause 3.5.54, Choice to leave the scheme |
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iii. |
The member transfers out of their employment or trade category. Exception: If the member transfers for medical reasons. |
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Example: A member chooses to join the scheme on 1 December 2005. The member leaves the ADF to take another job on 1 November 2006. The member has served less than one year since choosing to join the scheme. The member has to repay the whole commitment payment. |
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Non-example: A member chooses to join the scheme on 1 December 2005. The member leaves the ADF on 1 January 2007. The member has served more than one year since choosing to join the scheme so does not have to repay the commitment payment. |
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Example: A member chooses to join the scheme on 1 December 2005. From 1 April 2006 to 31 May 2006 the member is on leave without pay. The member will have to repay their commitment payment if they leave the ADF before 1 February 2007 (The 12 months runs until 1 December 2006, plus two months that were not effective service). |
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3. |
A member is not required to repay the commitment payment if they leave the Army for either of these reasons. |
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a. |
They die. Note: This means that where a member dies, the member's legal personal representative will not be required to repay the bonus. |
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b. |
They become permanently medically unfit for duty. |
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4. |
A member who must repay the commitment payment must repay the gross (ie pre-tax) amount. |
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5. |
A member who is obliged to repay their commitment payment is not eligible for the completion bonus. See: Clause 3.5.56, Completion bonus |
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1. |
A member who serves four years of effective service under this Division after choosing to join the scheme is entitled to a completion bonus. |
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2. |
The completion bonus is assessed under this table. |
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Item |
If the member's rank when they joined the scheme was... |
then the member is entitled to... |
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1. |
Corporal |
$30,000. |
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2. |
Sergeant |
$25,000. |
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Example: A Corporal joins the scheme. Two years later the member is promoted to Sergeant. At the end of four years of effective service the member is entitled to a $30,000 completion bonus. |
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3. |
The bonus is paid as a lump sum at the end of the four years of effective service. |
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1. |
An early completion bonus payment may be made if the member has served one year of effective service under this Division, and is in one of these situations. |
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a. |
The member has died. Note: This means that where a member dies, early payment may be made to the member's legal personal representative. |
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b. |
The member is not eligible for the completion bonus and the CDF considers that this is for reasons beyond the member's control. |
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c. |
The member has been commissioned as an officer. |
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Persons who can make the decision under paragraph 3.5.57.1.b on behalf of the CDF: Commanding Officer Soldier Career Management Agency |
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2. |
An early completion bonus is paid on a pro rata basis. The amount is calculated using this table. |
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Step |
Action |
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1. |
Find the bonus the member would have been paid, had the member served four years of effective service.
See: Subclause 3.5.56.2, Completion bonus |
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2. |
Calculate the length of effective service the member has given, in years and part years. |
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3. |
Subtract one year from the outcome of Step 2. |
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4. |
Multiply the outcomes of Step 1 and Step 3 |
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5. |
Divide the answer in Step 4 by three. |
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6. |
The member may be paid the outcome of Step 5. If the member is dead, payment may be made to the member's legal personal representative. |
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Example: A Sergeant dies before they are paid their completion bonus. The member had given three years and three months of effective service. |
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Step |
Action |
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1. |
The full bonus for a Sergeant is $25,000. |
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2. |
The member had given 3 years and 3 months of service.
This is equivalent to 3.25 years. |
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3. |
3.25 years – 1 year = 2.25 years |
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4. |
$25,000 x 2.25 years = $56,250 |
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5. |
$56,250 divided by three = $18,750 |
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6. |
$18,750 may be paid to the member's legal personal representative. |