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Legislative Assembly for the ACT: 2006 Week 8 Hansard (22 August) . . Page.. 2413..


MR STANHOPE (continuing):

members of the Legislative Assembly, executives, chief executives and statutory officeholders.

However, employment arrangements and conditions of employment for those public offices are not only regulated by tribunal determinations. Conditions of employment also derive from other sources, such as the instrument of appointment and enabling legislation for statutory officeholders, contracts for chief executives and executives and, as relevant, the Public Sector Management Act and management standards. The employment of executives and chief executives is primarily regulated by the Public Sector Management Act and standards. However, certain provisions of that act and standards apply also to statutory officeholders.

Under current legislative arrangements the tribunal is not able to determine allowances or entitlements where they are set under territory or Commonwealth laws, or are otherwise included in the relevant instrument of appointment. These changes do not alter the principle that the tribunal should not determine allowances or entitlements otherwise provided under territory or Commonwealth laws.

The amendments clarify the position where a territory or Commonwealth law, which is most likely a law made subsequent to a determination, regulates matters covered by an existing determination. The changes will provide that the determinations are subject to territory and Commonwealth laws, or the relevant instrument of appointment or engagement. To avoid any effect on existing entitlements, the arrangements apply only to persons appointed to those relevant offices on or after 1 July 2006.

The new arrangements primarily link to new provisions contained in the public sector management standards for chief executives, executives and statutory officeholders. The standards set in place an entitlement to a four-cylinder vehicle where the executive or statutory officeholder elects an employer-provided vehicle as part of his or her remuneration package. This four-cylinder entitlement applies unless an exemption is granted for operational reasons by the chief executive of my department.

The standard also sets in place nine per cent employer superannuation contributions, consistent with arrangements for new staff in the public service. The arrangements under the standards for superannuation entitlements have been included in post-1 July 2006 employment arrangements. The changes, therefore, do not affect superannuation entitlements for existing executives, chief executives and statutory officeholders. As such they do not apply retrospectively. The government's decision to progressively replace six-cylinder vehicles with four-cylinder vehicles is supported also by the new standard.

Overall, vehicle entitlements will not be reduced. Overall, the amendments retain the principle that tribunal determinations should not be made where allowances or entitlements are dealt with by territory or Commonwealth laws, and also clarify that in the event of a determination dealing with an entitlement or allowance covered by a law or appointment instrument, that law or instrument will prevail over the determination for persons employed post-1 July 2006. I commend the bill to the Assembly.

Debate (on motion by Mr Stefaniak ) adjourned to the next sitting.


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