Australian Capital Territory Numbered Acts

PUBLIC SECTOR MANAGEMENT AMENDMENT ACT 2005 (NO 2) (NO. 44 OF 2005) - SECT 24

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75A     Notice or payment if executive not re-engaged

    (1)     This section applies in relation to a person engaged by a contract under section 72 (Executives—engagement) if the relevant chief executive for the person does not intend to re-engage the person under that section.

    (2)     However, to remove any doubt, this section does not apply if the contract is terminated before the end of the period of employment specified in the contract.

Note     For the termination of a contract under s 72, see s 73 (Early termination of contract).

    (3)     Three months or more before the day the contract ends, the relevant chief executive may give the person written notice that the person will not be re-engaged.

    (4)     An amount equal to ¹ / 4 of the person's final annual salary is payable to the person by the Territory if, when the person's contract ends—

        (a)     the relevant chief executive has not given a notice under subsection (3); and

        (b)     the person has not accepted another position in the public sector; and

        (c)     the person is not entitled to a redundancy payment (however described) for not being re-engaged.

Note     Section 248B provides that the Territory or a territory instrumentality must not, within 3 months after the day the contract ends, and without the commissioner's written consent, employ a person who has received, or is entitled to, an amount mentioned in this subsection.

    (5)     The amount must be paid within 3 months after the day the contract ends.

    (6)     In this section:

"final annual salary", for a person engaged by a contract under section 72, means the person's annual remuneration under the contract as at the day the contract ends, but does not include cash payments (for example, cash payments instead of employer-provided benefits).

Note     An example is part of the Act, is not exhaustive and may extend, but does not limit, the meaning of the provision in which it appears (see Legislation Act, s 126 and s 132).

    (7)     This section applies in relation to a contract—

        (a)     whether the contract was entered into before or after the day this section commences (the commencement day ); but

        (b)     only if the contract ends later than 3 months after the commencement day.

    (8)     Subsection (7) and this subsection expire 1 year after the commencement day.