Determination Variation - 11 November 2010
SALARIES AND ALLOWANCES ACT 1975
CEO WESTERN AUSTRALIAN TOURISM COMMISSION
The Salaries and Allowances Tribunal has been requested to make a determination in respect of the position of Chief Executive Officer, Western Australian Tourism Commission, following a review of the Commission’s operations and structure.
The remuneration for the office holder has been determined within the Tribunal’s remuneration framework for Special Division and Prescribed Office holders. The Tribunal has taken particular note of the commercial environment within which the Tourism Commission operates, the remuneration of comparable positions in other jurisdictions and a change in Government policy direction which has been reflected in the new operational structure of the Tourism Commission.
This determination is separate from the schedule to the Tribunal’s general determination of 1 April 2010 on the Special Division of the Public Service and Prescribed Offices. It is distinct from the general determination in all aspects including:
- the remuneration determined is inclusive of the non-tenured allowance;
- the remuneration determined is inclusive of the $5,000 per annum allowance payable to a chief executive; and
- there is no provision for a one step incremental classification increase after three years of continuous service.
Pursuant to section 6(1)(e) of the Salaries and Allowances Act 1975 the Salaries and Allowances Tribunal determines the remuneration to be paid to the Chief Executive Officer, Western Australian Tourism Commission, as a Prescribed Office holder. This determination is effective on and from the date of appointment of the holder of the office.
PART 1 – REMUNERATION
|Chief Executive Officer
||Western Australian Tourism Commission
1.1 A person holding more than one Special Division or Prescribed Office, shall receive remuneration for one such office only, being the office classified or remunerated at the highest level.
PART 2 – MOTOR VEHICLES
Section 1: General
1.1 In addition to the remuneration determined for the person holding the office listed in Part 1, the office holder has an entitlement to a motor vehicle for private use provided through State Fleet in accordance with the criteria in this Part.
1.2 The provision of vehicles remains an administrative responsibility of the Department to manage in a cost effective manner.
1.3 A person holding more than one Special Division or Prescribed Office, shall be entitled to a motor vehicle or cash in lieu of a motor vehicle for one such office only, being the office classified or remunerated at the highest level.
1.4 An individual accessing a vehicle under this Part shall take due care of the condition and security of the vehicle. This includes responsibility for ensuring the vehicle is regularly serviced and maintained at government expense according to the manufacturer’s recommended specifications, and making arrangements for off-street parking at home, whenever practicable, with appropriate security precautions taken at all times. Any theft or damage, however slight, should be reported to the Fleet Manager with a view to repairs being effected at the earliest opportunity.
1.5 While the vehicle may be used anywhere in Western Australia at no cost to the individual, if the vehicle is driven interstate, the individual is liable for the cost of fuel and oil while interstate. Furthermore, if used outside of Western Australia, the custodian must be in the vehicle at all times that it is being used.
1.6 Should the officer choose not to use the vehicle, supplied through State Fleet, for business, or for travelling to and from work, but allows and authorises the vehicle to be used for private use during business hours by another family member or person, he/she is not entitled to access another government vehicle for his/her private use.
1.7 Should the officer choose to take cash in lieu of a motor vehicle supplied through State Fleet, he/she is not entitled to claim a mileage allowance for use of their private vehicle for work purposes.
Section 2: Benchmark Vehicle
2.1 Where a Benchmark Vehicle is sought through State Fleet, the entitlement is to a Ford G6E or Holden Calais, subject to market changes of vehicle models.
Section 3: Non-Benchmark Vehicle
3.1 Where a vehicle and accessories other than a Benchmark Vehicle is sought through State Fleet, the difference in cost to Government:
- where greater, is to be paid fortnightly by the individual; or
- where lesser, is to be paid fortnightly as part of the individual’s remuneration
3.2 The method of determining whether an additional contribution must be made by the individual or the surplus paid as part of remuneration shall be based on the actual cost to Government of the vehicle sought (using the formula detailed below), compared against the more expensive of the Benchmark Vehicles mentioned above. The cost at the time of entering into the lease is applicable.
3.3 Where an individual wishes to obtain a motor vehicle that varies from the Benchmark Vehicle, the motor vehicle costs must include the lease cost, Fringe Benefits Tax and all other operating costs based on the relevant figure of nominated kilometres to be travelled annually. The formula to be adopted in valuing the motor vehicle is:
L + R + aD + FBT, where
Running cost per kilometre
nominated annual kilometres*
Fringe Benefits Tax
*Note: To the extent that in line with State Fleet policy agencies may in practice already have adopted this approach (i.e. departed from the originally specified 20,000 km per annum calculation base) this is endorsed.
3.4 FBT is costed at applicable Australian Taxation Office rates. For the year ending 31 March 2011 FBT is costed at purchase price (including GST) x Statutory fraction x Gross up (2.0647) x FBT rate (0.465).
3.5 Fringe Benefits Tax Exempt Agencies: Where an organisation is exempt from FBT in accordance with Commonwealth Government legislation, a notional amount equal to the standard FBT must be added to the cost of the benefit.
3.6 Should an officer choose other than a Benchmark Vehicle, it may have implications on their superannuable remuneration.
3.7 The cost of vehicle accessories over and above those available to Senior Executive Service members as set out in the “WA Government Fleet Policy and Guidelines” should be borne by the individual.
3.8 In most instances the Fleet Manager will provide a total costing for each vehicle.
Section 4: Cash Value
4.1 Where a person elects not to be provided with a motor vehicle through State Fleet he/she is entitled to the cash value being paid fortnightly as additional remuneration. The cash value for the motor vehicle is $22,600.
PART 3 – REMUNERATION PACKAGE VALUE
Section 1: General
1.1 For the purposes of calculating the value of the remuneration package the employer cost of superannuation should be included in addition to the remuneration and the amount determined by the Tribunal for the motor vehicle provided.
1.2 Motor Vehicle: Part 4 contains the determination as to the value ascribed to the motor vehicle that will be provided or the amount that can be taken in lieu of a vehicle. Should an officer choose to take cash in lieu of a vehicle, it may have implications on their Gold State superannuable remuneration. A key issue here is that the Cash Value of the vehicle is not included in the officer’s remuneration for Gold State superannuation purposes. Also if the officer chooses a vehicle with a value below the benchmark vehicle then the surplus returned in additional remuneration is not included in the officer’s remuneration for Gold State superannuation purposes.
1.3 An initial guide on this issue can be obtained on the Government Employees’ Superannuation Board’s (GESB) website at www.gesb.wa.gov.au/employers . (Then go to Publications and Forms, Guides, Salaries and Allowances Guide. Then use the Bookmark tag on the left hand side of the screen to scroll to Part Two, Salaries and Allowances Index and scroll to ‘in lieu of a motor vehicle’ heading.) Further information can be obtained from the GESB’s Members’ Services Centre.
1.4 Superannuation: Due to the closure of superannuation schemes over the past years, it is not possible to prescribe the value per person of the superannuation benefit. It is generally assumed that where a person was a member of the Western Australian public sector prior to the 30 December 1995, the value of superannuation is twelve per cent of basic remuneration. For those who joined after that date, the superannuable component is in accordance with that required under the Superannuation Guarantee Levy.
1.5 Individuals should seek advice from their relevant fund manager or financial adviser in respect of matters mentioned above that might affect their superannuable remuneration.
1.6 Special Division and Prescribed Office holders are entitled to participate in salary packaging arrangements for superannuation and novated leases. Those arrangements can be effected in accordance with the “Guidelines for Salary Packaging in the WA Public Sector” document, which can be accessed at:
Dated at Perth this 11th day of November 2010.
|W S Coleman AM
||C A Broadbent
||B J Moore|
SALARIES AND ALLOWANCES TRIBUNAL