Division 3: How to work out the amount of higher duties allowance

 

TAX ALERT: PACMATE Annex 3.A, item 23.

4.1.12   Purpose
4.1.13   Qualifying period – member of the Permanent Forces
4.1.14   Qualifying period – member on Reserve service
4.1.15   Qualifying period – member on assessment
4.1.16   Amount of higher duties allowance – general
4.1.17   Amount of higher duties allowance – exception for non-commissioned officers
4.1.18   Amount of higher duties allowance – exception for specialist officers
4.1.18A  Amount of higher duties allowance – exception for member acting in Brigadier position
4.1.18B  Amount of higher duties allowance – transitional for other rank members
4.1.19   Member on leave or returning from leave
4.1.19A  Payment instead of leave (This clause is policy guidance)
4.1.20   Partial performance and performance in a position two or more ranks higher
4.1.21   Duties not in the ADF

4.1.12   Purpose

 

This Division sets out these conditions for higher duties allowance.

 

a.

The period of higher duties that must be served before payment of higher duties allowance begins.

 

b.

The amount of the allowance.

 

c.

Other variations and conditions.

4.1.13   Qualifying period – member of the Permanent Forces

1.

A member becomes entitled to higher duties allowance after they perform higher duties for a continuous period of five days.

 

a.

The five-day qualifying period begins on the day the direction to perform the higher duties begins.

 

b.

The period does not include days when the member is not required to attend for duty.

 

Example 1: An eligible member on continuous full-time service works from Monday to Friday. They begin higher duties on Thursday. They complete the five days' continuous performance of the duties at the end of the following Wednesday. Because they are not normally required to attend for duty on Saturday, Sunday or public holidays, these days do not break the five-day period. Those days when the member is not required to attend for duty are not counted as part of the five-day period.

Example 2: An eligible member on continuous full-time service works on a shift roster and begins higher duties on a shift day. They count the five-day qualifying period from the start of that day's work. They cannot count any days when they are rostered off duty toward the five days. However, the off-duty period does not break the continuity of the five days. This works the same way as a weekend would for a member working a normal business week.

2.

When the member has completed the qualifying period they are entitled to be paid higher duties allowance from the first day of the qualifying period.

4.1.14   Qualifying period – member on Reserve service

1.

This clause applies to a member on Reserve service.

2.

The member becomes entitled to higher duties allowance after they perform higher duties for a continuous aggregate period totalling five days.

 

a.

The period begins on the day the direction to perform the higher duties begins.

 

b.

The period includes any part-days when the member performs the higher duties.

 

c.

The period does not include days when the member is not required to attend for duty.

 

Example: An eligible member on Reserve service performs 10 half-days continuously in a higher position. They add up those part-days to make a continuous period of five days.

Non-example: An eligible member on Reserve service begins performing higher duties on Monday. They spend Tuesday working in another position performing other duties. They have broken the qualifying period of five days' continuous service in the higher position. They re-start the five-day period on the next day they perform higher duties.

3.

When the member has completed the qualifying period they are entitled to be paid higher duties allowance from the first day of the qualifying period.

4.1.15   Qualifying period – member on assessment

1.

If required for the purposes of determining eligibility for higher duties, a member’s competence to perform the duties may be assessed by a Commanding Officer before a decision is made under clause 4.1.7 or 4.1.10.

2.

The assessment must be completed within three months of the member's commencement of duties in the higher position.

3.

The member can be paid for higher duties when these conditions are met.

 

a.

The Commanding Officer decides that the member can competently perform the higher duties.

See:
Division 2 clause 4.1.7, Member eligible to perform higher duties.
Division 2 clause 4.1.10, Posting to higher duties.

 

b.

A five-day qualifying period in either clause 4.1.13 or 4.1.14 (whichever applies to the member) has been performed after the start of the assessment period.

Note: This means that when the member has completed the qualifying period and the Commanding Officer has decided they can competently perform the duties under paragraph a., they are entitled to be paid higher duties allowance from the first day of the qualifying period.

4.1.16   Amount of higher duties allowance – general

1.

An eligible member entitled to higher duties allowance is entitled to the difference between these two amounts.

 

a.

Their total remuneration.

 

b.

The total remuneration they would be entitled to if they were promoted to the rank belonging to the higher position, at the base ('on promotion') rate for that rank and, if applicable, a relevant competency level or pay grade actually held by the member.

 

Example: This means that the rate of higher duties allowance is worked out using the 'on-promotion', or base rate, of salary for the rank of the higher position. An eligible specialist officer or other rank is paid at the lowest rate for the competency level they hold at the higher rank.

2.

A member does not get an incremental salary advancement for work in the higher position.

Note: The short-term nature of higher duties means that increment rates are not relevant to higher duties allowance.

3.

From 5 October 2006, the total remuneration for a member with the rank of Warrant Officer Class 1 or above ceases to include any amount previously paid for qualification and skill under any of the following allowances.

 

i.

DFRT Determination No.4 of 2006, Flying and flight duties allowance.

 

ii.

DFRT Determination No.11 of 2002, Special Action Forces allowance.

 

iii.

DFRT Determination No.19 of 2002, Specialist Operations allowance.

 

iv.

DFRT Determination No.9 of 1995, Submarine Service allowance.

 

Note: The amount is still taken into account for higher duties allowance because it is included in the member's salary from 5 October 2006.

4.1.17   Amount of higher duties allowance – exception for non-commissioned officers

 

A member is entitled to an allowance of 5% of their salary for the period of higher duties if the member meets all of the following conditions.

 

a.

The member is a non-commissioned officer.

 

b.

The member performs higher duties in a commissioned officer's position.

 

c.

The member would be entitled to higher duties allowance under subclause 4.1.16, but their total remuneration is already higher than that of the higher position.

 

Example: When a non-commissioned officer performs higher duties in a position with the rank of a commissioned officer, the total remuneration for the higher ranked position may be less than the amount they would usually receive. No higher duties allowance would be payable under clause 4.1.16. This clause provides that the member would get an extra 5% of their salary (excluding service allowance) for the period of the higher duties.

4.1.18   Amount of higher duties allowance – exception for specialist officers

1.

This clause applies to an eligible member who meets all these criteria.

 

a.

They are in a specialist officer career structure.

 

b.

They perform higher duties.

 

c.

They would be entitled to higher duties allowance under subclause 4.1.16, but their total remuneration is already higher than that of the higher position.

2.

The member is entitled to an allowance for the period of higher duties. The allowance is equal to the difference between these two amounts.

 

a.

Their substantive salary.

 

b.

The salary at the next highest increment for their competency level at the higher rank.

3.

If there is no higher increment at the member’s competency level that can be used to work out a higher duties allowance, then the member is entitled to an allowance of 5% of their salary for the period of higher duties.

4.1.18A  Amount of higher duties allowance – exception for member acting in Brigadier position

1.

This clause applies to an eligible member who performs higher duties in a position with the rank of Brigadier.

2.

The member is entitled to an allowance equal to the higher of the following amounts.

 

a.

An amount calculated under clause 4.1.16.

See: Clause 4.1.16, Amount of higher duties allowance – general

 

b.

An amount equal to 5% of the member's salary for the period of higher duties.

4.1.18B  Amount of higher duties allowance – transitional for other rank members

1.

In this clause, the later rate is an amount of higher duties allowance that could be paid to a member for a period, based on salary rates determined by the DFRT on or after 24 December 2008 and before 1 July 2009.

2.

This clause applies to a member to whom higher duties allowance is payable between 4 September 2008 and 1 July 2009.

3.

The following table sets out transitional benefits relating to a period of higher duties allowance performed by the member.

 

Item

If a rate of higher duties allowance paid to the member in this period...

differs from the later rate because it is...

then the member is to be paid...

1.

4 September 2008 and 23 December 2008

lower than the later rate

the difference between the rate actually paid and the later rate, for the period of the higher duties.

2.

4 September 2008 to 23 December 2008

higher than the later rate

no additional amount is payable and the member retains the amount actually paid for the higher duties.

3.

24 December to 30 June 2009

lower than the rate that would have been payable to the member if salary structure and rates had not changed in the period

the difference between the rate actually paid and the later rate, for the period of the higher duties.

4.

24 December to 30 June 2009

higher than the rate that would have been payable to the member if salary structure and rates had not changed in the period

no additional amount is payable and the member retains the amount actually paid for the higher duties.

5.

commencing before 1 July 2009 and continuing until any day after 1 July 2009

lower than the rate that would have been payable to the member if salary structure and rates had not changed in the period before 1 July

the difference between the rate actually paid and the later rate, until the end of the period for which higher duties allowance is approved.

4.1.19   Member on leave or returning from leave

1.

This clause applies to an eligible member who is performing higher duties and goes on any period of paid leave.

2.

The member's period of higher duties includes the period of leave if both these conditions are met.

 

a.

They are posted to the higher position.

 

b.

The period of leave is two months or less.

Note: This rule applies for each individual absence.

3.

The member's period of higher duties includes the period of leave if all these conditions are met.

 

a.

They are not posted to the higher position.

 

b.

The period of leave is one month or less.

Note: This rule applies for each individual absence.

Exception: If the leave occurs immediately before the member goes on a new posting, subclause 4 applies.

 

c.

They continue to perform in the higher position on return from leave.

4.

The member's period of higher duties includes the period of leave if all these conditions are met.

 

a.

They are not posted to the higher position.

 

b.

The period of leave meets either of these conditions.

 

i.

It extends for between one and two months.

 

ii.

It occurs immediately before the member goes on a new posting.

 

 

Note: This rule applies for each individual absence.

 

c.

The CDF certifies in writing the period that the member would have continued to perform the duties but for the leave. The CDF must justify an extension of payment for higher duties for a maximum period of two months of leave.

5.

This clause applies even if another person performs the higher duties while the member is on leave.

 


 

Persons who can make the decision under paragraph 4.1.19.4.c on behalf of the CDF:

An officer not below the rank of Brigadier(E)/SES Band appointment within the member's chain of command

Director General Navy People

Director General Personnel – Army

Director General Personnel – Air Force

Force Element Group Commander – Air Force

4.1.19A  Payment instead of leave (This clause is policy guidance)

 

Note: For higher duties allowance to be included in a payment instead of leave, see these references.

 

a.

Recreation leave.

See: Chapter 5 Part 2 Division 6 clause 5.2.32, Payment instead of recreation leave.

 

b.

Long service leave.

See: Chapter 5 Part 3 Division 5 clause 5.3.27, Member on higher duties, temporary or acting rank.

4.1.20   Partial performance and performance in a position two or more ranks higher

1.

This clause applies if a member is directed to perform some or all of the duties of a vacant position that is two or more ranks higher than the member’s substantive rank.

Note 1: If a member is to perform only part of the duties of a higher position, they must be informed which of the duties they need to perform.

Note 2: A non-Commissioned Officer performing the duties of an officer does not of itself require performance of duties that are two or more ranks higher.

Example: A Sergeant performing the duties of a Captain would be a difference in responsibility that could be considered under this clause.

Non-example: A Sergeant performing the duties of a Lieutenant would normally be considered under Division 2 clause 4.1.7.

2.

The CDF may determine a suitable higher rank or employment level for the purpose of working out a rate of higher duties allowance under this clause.

3.

The rate of higher duties allowance worked out under subclause 2 is limited to the 'on-promotion' or base rate of salary for the higher rank or employment level.

4.

For subclause 2, the CDF must consider all these factors.

 

a.

The duties that the member is required to perform.

 

b.

The member’s level of competence in performing the duties.

 

c.

Any restriction on the rank the member can be promoted to.

Example: The difference between a specialist officer’s or Other Rank member’s actual competency level and the competency level of the higher position.

 

d.

Any other factor relevant to the member’s performance of the duties.

 

Example: A member is directed to act in a position two ranks higher than their substantive rank. The CDF determines to pay them at a salary only one rank higher than their substantive rank because the member cannot perform all of the duties of the position.

5.

Partial performance is not payable to a specialist officer or Other Rank member who performs duties at a higher competency level within their substantive rank.

6.

If a member would be entitled to higher duties allowance at the next highest rank as a result of the decision under subclause 2, then both that decision and the direction to the member to perform partial higher duties may be made by a member (the directing member) who meets all of these conditions.

 

a.

The vacant position to be filled is at the rank of Major or below.

 

b.

The vacant position is not a specialist officer position.

 

c.

The directing member is within the same unit as the member they direct to perform higher duties.

 

d.

The directing member is at least one rank higher than the vacant position.

 

e.

The directing member is in the chain of command of the member who they direct to perform in the vacant position.

 

f.

The directing member is satisfied that the duties of the vacant position are not already, or cannot be, distributed among other members.

 

g.

The directing member is satisfied that the member can perform the duties competently.

Note: Each decision under this subclause must be made separately after considering the individual member's ability. It is not possible to direct several members to perform higher duties at once.

 

Persons who can make the decision under subclause 4.1.20.2 on behalf of the CDF:

An officer not below the rank of Brigadier(E)/SES Band appointment within the member's chain of command

Director General Navy People

Director General Personnel – Army

Director General Personnel – Air Force

Force Element Group Commander – Air Force

4.1.21   Duties not in the ADF

1.

This clause applies if an eligible member is directed to perform higher duties in a position that is not in the ADF. This includes a position in a foreign force or the APS.

 

Note 1: A member who serves in a foreign force is remunerated under an administrative arrangement. It is called a memorandum of understanding (MOU) and is made between the Commonwealth and the foreign force’s governing body.

Note 2: The member does not become a member of the other Service.

2.

The member's rate of higher duties allowance is worked out using the rank, employment category or employment level that the CDF determines as suitable for the duties.

3.

For subclause 2, the CDF must consider a written submission from the member’s Commanding Officer or supervisor. The submission must address all these criteria.

 

a.

The nature and complexity of the duties.

 

b.

The responsibilities involved in performing the duties.

 

c.

The level of supervision to be exercised when performing the duties.

 

d.

The level of accountability for personnel, finance, machinery or other equipment.

 

e.

If applicable, any APS classification that would normally apply to the duties.

See: Chapter 1 Part 4 clause 1.4.3, ADF ranks and APS classifications. (This reference is policy guidance)

 

f.

Any other factor relevant to performance of the duties.

 

Persons who can make the decisions under subclause 4.1.21.2 on behalf of the CDF:

An officer not below the rank of Brigadier(E)/SES Band appointment within the member's chain of command

Director General Navy People

Director General Personnel – Army

Director General Personnel – Air Force

Force Element Group Commander – Air Force

 

PACMAN                                                             Reprint (August 2010)                                    Chapter 4 – Part 1 Division 3 – 1