EXPLANATORY STATEMENT

 

Select Legislative Instrument 2005 No. 308

 

Issued by the authority of the Minister for Employment and Workplace Relations

 

Remuneration and Allowances Act 1990

 

Remuneration and Allowances Regulations 2005

 

The Remuneration and Allowances Act 1990 (the Act) sets the remuneration and allowances of certain public office-holders, including judges, Secretaries of Departments, Ministers and parliamentary office-holders, Senators and Members of the House of Representatives.

Section 8A of the Act provides that the Governor-General may make such regulations as are required or permitted by the Act to be prescribed, or are necessary or convenient to be prescribed for carrying out or giving effect to the Act.

Subclause 1(2) of Schedule 3 to the Act provides that Senators and Members of the House of Representatives are to be paid an annual salary which is either the minimum annual salary for an SES Band 2 employee, or is prescribed in regulations as a percentage of a reference salary.

Under the Remuneration and Allowances Regulations 1999, the annual salary for Members of Parliament was set at 100% of the reference salary for Band A of the Principal Executive Office (PEO) classification structure under Remuneration Tribunal Determination 1999/15.

The Remuneration Tribunal has made a new determination adjusting the PEO classification structure, which replaces the current Determination 1999/15.  The Determination 2005/19 commenced on 19 December 2005, which is the same date as the new Regulations commenced.

The new Regulations continue the link between the annual salary of Members of Parliament and the reference salary for Band A of the PEO classification structure, by replacing the reference to Determination 1999/15 with reference to the new Determination 2005/19. 

The Minister considered the advice of the Remuneration Tribunal before the Governor‑General made the new Regulations, as required by subclause 1(3) of Schedule 3 to the Act.

The new Regulations are a legislative instrument for the purposes of the Legislative Instruments Act 2003.