Differential
pay mooted
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Just
what the doctor ordered: Pay and rewards will reflect the
attributes a person needs to do their job.Photo by Flt-Lt
Trevor Grant
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A
NEW pay structure is proposed later this year for officers and
WO1s.
The graded pay structure is being developed by the Remuneration
Reform Project (RRP) and aims to bring officer and WO1 remuneration
into a more contemporary structure by recognising the work value
of different employment groups, according to Head DPE Maj-Gen
Mark Evans.
“The ADF has reached a point where we can’t bring officer
and WO1 remuneration up to date without changing the way we pay
and reward our personnel,” Maj-Gen Evans said. “The
ADF’s proposed graded pay structure will create a sound foundation
for modernising the way the ADF recognises differences in work
value and, over time, deliver differential pay.”
The concept of differential work value is central to introduction
of a graded pay structure.
“Currently we pay all officers and WO1s the same core pay
and then use allowances to help adjust for differential work values
among officers of the same rank. What RRP and a graded pay structure
will do is recognise differential work value and factor it in
core pay,” Maj-Gen Evans said. “When I say work value,
I’m talking about the attributes a person needs to perform
in their category or employment group. This includes expertise,
problem solving, and accountability.”
The proposed graded pay structure will have a number of pay groups
at each rank, like the current ORs structure. Initially, each
officer and WO1 will be placed into a new pay group that pays
the same as their current salary.
“Officers and WO1s will transition to the new structure at
their current rates of pay,” Maj-Gen Evans said. “For
those who receive qualification and skill allowances, they will
be placed in new pay groups that reflect the allowances rolled
in with current salary. This is being done as it is more appropriate
for the ADF to recognise differential work value in core pay.”
The four qualification and skill allowances to be rolled in are
flying, special operations, special action forces and submarine
allowances. The graded pay structure will move the ADF from the
present situation where work value is partly recognised by allowances
to one where all major work value will be embedded in core pay.
The Defence Force Remuneration Tribunal is currently considering
the ADF’s graded pay proposal. Its decision is expected this
month and details will be announced when available.
Maj-Gen Evans said the RRP would deliver structural reform and
was not a mechanism for awarding overall pay increases. The coming
ADF Workplace Remuneration Arrangement negotiations would consider
the merits of any general pay increase.
“There is a lot of work that needs to happen behind the scenes
to implement a graded pay structure,” Maj-Gen Evans said.
For more details visit http://intranet.defence.gov.au/pac/
or http://www.defence.gov.au/dpe/pac/
and click on the Remuneration Reform Project link.
