ADF Members Get New Pay Structures. And A Rise

The Hon. Dr Brendan Nelson,
Minister for Defence

ADF Members Benefit From New Pay Structures And A Pay Rise

A major advance in the Australian Defence Force (ADF) pay structure has been made to take it away from a 'one size fits all' approach to remuneration. The new ADF pay structure now meets contemporary workplace standards by recognising the work value of different military employment groups and rewarding them accordingly. Significant pay adjustments will flow from the new pay structures.

The Australian Government is making a substantial investment in reforming the way that ADF personnel are remunerated. Together with the Government's recent $3.1 billion commitment to boosting retention and recruitment, pay structure reform will go some way to enhancing the ADF's standing as an employer of choice.

ADF pay structure reform signifies the introduction of a new salary structure for enlisted personnel and the placement of warrant officer class one (equivalent) and all officers up to colonel (equivalent) rank in new graded pay structures.

Enlisted personnel will be paid against a new 16-grade work value pay structure, which later will be rationalised down to eight grades. As a result, about 18,000 enlisted ADF members will receive salary adjustments of up to 10 per cent. This increase will inject about $23 million extra into the pay packets of enlisted personnel each year.

Under the warrant officer structural reforms, about 1200 warrant officers class one and their equivalents will be placed in a new pay structure that recognises their unique role within the ADF. As well, about 10,000 officers up to the rank of colonel (equivalent) will be placed in their new pay grades. Most officers and warrant officers will receive a significant increase in their pay through placement in the new graded structures. This initiative will deliver about $104 million in salary increases.

ADF pay reform is a long-term process. The advances made to date have been brought about through the hard work of the Services and Defence to gain the agreement of the independent Defence Force Remuneration Tribunal.

More work is to be done to make the ADF pay structure even simpler and more flexible. Further rationalisation within the other ranks pay structure will be undertaken as part of the $585 million allocated over 10 years in the Federal Budget for this initiative.

All ADF members also received a 2.8 per cent pay rise on 9 August. This was the second of four instalments under the current ADF Workplace Remuneration Arrangement that will deliver salary increases totalling 12.6 per cent over three years.

The current ADF pay structure reforms will provide a contemporary remuneration base on which to grow the ADF and help meet military capability needs.

ENDS

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