Defence Determination 2007/67

I, PETER ARTHUR ELLISBAVINGTON, Acting Director General Personnel Policy and Employment Conditions, Personnel Executive, make this Determination under section 58B of the Defence Act 1903.
Dated 9 October2007
P A E BAVINGTON
Acting Director General
Personnel Policy and Employment Conditions
Personnel Executive

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Citation
This Determination is Defence Determination 2007/67, Medical Officer retention benefit scheme.
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Commencement
This Determination commences on the day it is signed.
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Amendment
Defence Determination 2005/15, Conditions of Service, as amended,1 is amended as set out in this Determination.
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Clause 3.5.2(Contents)
omit
Division 13 / Navy – Acoustic Warfare Analyst and Electronic Warfare Analyst Submarines completion bonus
insert
Division 13 / Navy – Acoustic Warfare Analyst and Cryptologic Systems Submarines completion bonus scheme
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Clause 3.5.2(Contents)
omit
Division 17 / Navy – Electronic Warfare Linguist completion bonus
insert
Division 17 / Navy – Cryptologic Linguist completion bonus scheme
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Clause 3.5.2(Contents)
add at the end
Division 27 / Medical Officers retention benefit scheme
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Chapter 3 Part 5 Division 26 (Medical Officers professional development financial support scheme)
after the Division, insert
Division 27: Medical Officer retention benefit scheme
3.5.252Purpose
This Division provides an attraction payment and a completion bonus for some medical officers in the Permanent Forces. The payment is designed to encourage members to continue to serve in the ADF.
Note: Action may be taken to amend or revoke a retention benefit if the policy reasons for making it cease to apply.
3.5.253Payments under this Division
This Division provides for two different types of payment.
a. / An attraction payment, paid on joining the scheme.
See: Clause 3.5.258, Attraction payment
b. / A completion bonus, paid to members who remain in the scheme for the number of years the member agrees to serve. In some circumstances pro rata payment of the completion bonus may be made.
See: Clause 3.5.259, Completion bonus
3.5.254Definitions
1. / For the purpose of this Division, an agreed period of service is a period of either two or three years which the member agrees to serve in a specified position, employment category or primary qualification in return for a payment under this Division.
2. / For the purpose of this Division, specialist career structure means the competency-based career structure under clause 15 of Defence Force Remuneration Tribunal Determination No. 6 of 1992, Salaries.
3. / For the purpose of this Division, effective service means service that meets all these conditions.
a. / It is continuous full time service.
b. / It is paid.
Exception: Unpaid leave of less than 21 calendar days.
c. / It is not ineffective service under subclause 4.
4. / This table lists a range of leave types and activities and sets out how a period of that leave or activity counts toward member's period of effective service.
Item / Activity / Effect
1. / Part time leave without pay / The unpaid component of a part-time leave without pay working pattern does not count as effective service.
2. / Leave at full pay
Examples: Recreation leave, full pay long service leave. / The whole period counts as effective service.
3. / Unpaid leave for less than 21 calendar days
Examples: Leave without pay, maternity leave without pay.
4. / Unpaid leave for 21 calendar days or more
Examples: Leave without pay, maternity leave without pay. / The whole period does not count as effective service.
5. / Absence without leave
6. / Imprisonment, detention or suspension from duty without pay
7. / Leave at half pay
Example: Long service leave at half pay. / Half the period of the leave counts as effective service.
8. / An undertaking for further service under Part 8 of the Military Superannuation and Benefits Act 1991, as preserved by item 4 of Schedule 4 Defence Legislation Amendment Act (No. 1) 2005. / The whole period does not count as effective service.
9. / A period when the member was discharging another undertaking for further service.
Exception: An undertaking for further service associated with a promotion.
10. / Return of service obligations
A period when the member is discharging a return of service obligation associated with the following.
a. An overseas posting.
b. Professional or trade training that is directly relevant to the member's occupation, and not described in item 11.a of this table. / Both of these periods are effective service.
i. The period of the overseas posting or the training.
ii. The period of the return of service obligation.
11. / Return of service obligations
A period when the member is discharging a return of service obligation associated with the following.
a. A period of initial category training.
b. Any other return of service obligation not described in
item 10 or 11 of this table.
Examples:
A return of service obligation associated with a transfer between Services.
A return of service obligation associated with recruitment to another country. / The whole period does not count as effective service.

3.5.255Members this Division applies to

1. / A member who meets all the following conditions is eligible to apply under this Division.
a. / The member is a medical officer in the specialist career structure.
b. / They are member of the Permanent Forces.
c. / The member holdsone of the rankslisted in the following table.
Item / If the member is in the ... / the following ranks are eligible ...
1. / Army / a. Captain
b. Major
2. / Air Force / a. Flight Lieutenant
b. Squadron Leader
3. / Navy / a. Lieutenant
b. Lieutenant Commander
d. / The member is at one of the following medical officer specialist career structure competency levels.
i. / Level 2.
ii. / Level 3.
e. / The member applies to join the scheme and agrees to provide either two or three years of service using the form at Annex 3.5.ZB. This is called the agreed period of service.
Exception: A member may not specify a period that will end after 30 June 2013.
See: Annex 3.5.ZB, Medical Officer retention benefit scheme
2. / This Division ceases to apply to all members on 30 June 2013.

3.5.256Members this Division does not apply to

A member in any of the following circumstances is not eligible to apply under this Division.
a. / The member is serving an initial minimum period of service (IMPS).
b. / The member is serving a period of undertaking for further service, under Part 8 of the Military Superannuation and Benefits Act 1991, as preserved by item 4 of Schedule 4 Defence Legislation Amendment Act (No. 1) 2005.
c. / The member is no longer liable to serve as a medical officer in accordance with clause 7 of Defence Force Remuneration Tribunal Determination No. 6 of 1992, Salaries.
d. / The member is serving a return of service obligation (ROSO) associated with their initial training.
e. / The member will reach compulsory retirement age before the end of the period of service they must undertake in return for the bonus they have been offered, and the member has not applied to have their retirement date extended to cover that period of service.
f. / The member's fixed period of service will end before the end of the period of service they must undertake in return for the bonus they have been offered, and the member has not applied to have their fixed period of service extended to cover the period of service required for the bonus.

3.5.257Acceptance

1. / The CDF may accept an eligible member's application.
a. / The acceptance must be in writing.
b. / The acceptance must state the number of years in the member's agreed period of service.
2. / A member who joins the scheme is taken to have undertaken to serve from the relevant date in the following table.
Item / If ... / then the member's undertaking to serve starts on...
1. / the member meets both the following
a. They would have been eligible to join the scheme on a day between 1July2007 and 9October 2007 if it had existed.
b. They applied to join the scheme before 6November2007. / the first day on or after 1July2007 that the member met the conditions under paragraphs 3.5.255.1.a to 3.5.255.1.d.
See: Clause 3.5.255, Member this Division applies to
2. / item 1 does not apply to the member / the day the completed form at Annex 3.5.ZB is provided to Defence.
See: Annex 3.5.ZB, Medical Officer retention benefit scheme
3. / If the member is in another scheme, they may be paid a pro rata amount for service in that scheme for the period ending on the day they are taken to commence in this scheme.

3.5.258Attraction payment

1. / A member whose application for the medical officer retention benefit scheme is accepted is to be paid an attraction payment.
2. / The amount of attraction payment is determined in the following table.
Item / If the member is accepted into the scheme for... / the member is to be paid...
1. / two years / $50,000.
2. / three years / $80,000.
3. / A member who does not serve inthe medical officer specialist career structure for the agreed period of service after the commencement of their undertaking to serve under this Division must repay the full amount of the attraction payment made to the member.
Exception: A member who leaves for a reason listed in clause 3.5.262 is not required to repay the attraction payment.
See:Clause 3.5.263, Pro rata calculation of the bonus amount
4. / A member who commences to serve an undertaking for further service (UFFS) under Part 8 of the Military Superannuation and Benefits Act 1991, as preserved by item 4 of Schedule 4 Defence Legislation Amendment Act (No. 1) 2005 before the member completes their period of effective service under this Division must repay an amount of the attraction payment proportional to the part of the agreed period of service that they have not served on the day they commence the UFFS.

3.5.259Completion bonus

1. / A member who meets both the following conditions is entitled to a completion bonus.
a. / The member has completed their agreed period of service under this Division.
b. / The period is all effective service.
2. / The amount of the completion bonus is determined in the following table.
Item / If the member completes ... / the member is to be paid...
1. / two years effective service / $25,000.
2. / three years effective service / $40,000.
3. / A member who meets both the following conditions is entitled to a pro rata payment of the completion bonus, calculated using the method in clause 3.5.263.
See: Clause 3.5.263, Pro rata calculation of the bonus amount
a. / The member has completed their agreed period of service under this Division.
b. / The service period includes ineffective service.
Related Information: Clause 3.5.260, Extension of the period for payment, allows a member with ineffective service to elect to serve for a longer period.

3.5.260Extension of the agreed period of service

1. / A member may elect to serve for longer than their agreed period of service, if the period includes ineffective service.
2. / An election under subclause 1 must have these features.
a. / The election must be on the form at Part E of Annex 3.5.ZB.
See:Annex 3.5.ZB, Medical Officer retention benefit scheme
b. / The election may only be for a period ending on the day the member has served the number of years of effective service equivalent to the member's original agreed period of service under this Division.
Exception: A member may not elect to serve under this Division beyond 30June2013.
Example: A member elects to serve for three years. In that three-year period the member has 63 days that were not effective service. The member elects to extend his service period by 63 days, to make a total of three years of effective service.
3. / A member who makes an election under subclause 1, and who completes their original agreed period of service as effective service, is entitled to the full amount completion bonus instead of the pro rata bonus amount.
Example: A member agreed to serve for three years. In that period the member has 50days of leave without pay. The member elects to serve for longer, and works for an extra 50 days. The member is entitled to a $40,000 completion bonus.
4. / A member who makes an election under subclause 1, and who cannot serve for long enough to complete their original agreed period of service as effective service, is entitled to a bonus calculated using the method in clause 3.5.263.
See: Clause 3.5.263, Pro rata calculation of the completion bonus amount
Example: A member agreed to serve for three years. In that period the member has 50days of leave without pay. The member elects to serve for an extra 50 days, but can only work an additional 20 days before their fixed period of service ends. The member's bonus is calculated under clause 3.5.263.

3.5.261Bonus not payable when member leaves the scheme

A member who has applied to join the scheme under this Division ceases to be eligible for the scheme if they meet any of the following conditions before they complete the agreed period of service.
a. / The member voluntarily leaves the medical officer employment category or primary qualificationfor which the bonus was offered.
b. / The member voluntarily transfers to the Reserve Forces.
c. / The member resigns from the Permanent Force.

3.5.262Pro rata payment of bonus when member leaves scheme

A member who has applied to join the scheme under this Division is eligible for a pro rata payment of the bonus under clause 3.5.259 if their service under this Division ceases for one of the following reasons.
a. / The member dies.
b. / The member applies to extend their period of service or enlistment but the extension is refused.
c. / The member's service is terminated due to physical or mental incapacity that is not within the member's control.
See: Regulation 87 Defence (Personnel) Regulations 2002
d. / The member is made redundant or retrenched.
e. / The bonus scheme ceases.
f. / The member is promoted to a higher rank.
g. / The member commences to serve an undertaking for further service under Part 8 of the Military Superannuation and Benefits Act 1991, as preserved by item 4 of Schedule 4 Defence Legislation Amendment Act (No. 1) 2005.
h. / The member is reduced in rank to a rank that is not eligible under this Division.
Exception: The reduction is the result of disciplinary action or administrative action.

3.5.263Pro rata calculation of the bonus amount

This table shows how to calculate a pro rata amount of completion bonus that a member is entitled to under this Division.
Exceptions: Subclauses 3.5.259.1 and 3.5.260.3 provide for a completion bonus to members who complete their agreed period of service under this Division.
Step / Action
1. / Work out the number of calendar days in this period.
a. The period starts on the day the member is taken to start their undertaking to serve under this Division.
b. The period ends on the day before the date the member meets conditions for pro rata payment of the completion bonus.
2. / Work out the number of days of ineffective service in the period in Step 1.
3. / Subtract the outcome of Step 2 from the outcome of Step 1.
4. / Divide the outcome of Step 3 by an amount determined for the relevant period of service.
If the member's agreed period of service was for... / the calculation figure is...
two years / a. If the member's service period did not include a 29 February, the figure is 730.
b. If the member's service period included a
29 February, the figure is 731.
three years / a. If the member's service period did not include a 29 February, the figure is 1095.
b. If the member's service period included a
29 February, the figure is 1096.
5. / Multiply the outcome of Step 4 by the amount relevant to the agreed period of service.
If the member's agreed period of service was for... / the calculation figure is...
two years / $25,000
three years / $40,000
6. / The member may be paid the outcome of Step 5.
Example: A member applies to join the scheme on 15 October 2007. The member joins the scheme for three years. On 1December 2008 the member's service is terminated as the member is medically unfit. The member had 25 days of leave without pay in December 2007.
Step / Action
1. / There were 413 calendar days between 15 October 2007 and 30 November 2008.
2. / The 25 days the member was on leave without pay was ineffective service.
3. / 413 – 25 = 388 calendar days
4. / For a three year agreed period of service, the figure is 1095.
388 divided by 1095 = 0.3543379
5. / 0.3543379 multiplied by $40,000 = $14,173.51.
6. / The member may be paid $14,173.51.

3.5.264Administration of payment

1. / A member may nominate payment details for the attraction payment and completion bonus, subject to these conditions.
a. / The form must be completed before the day the payment is due.
b. / The nomination must be on the form at Annex 3.5.ZB.
See: Parts C and D of Annex 3.5.ZB, Medical Officer retention benefit scheme
2. / If a member does not nominate payment details in the form at Annex 3.5.ZB, the attraction payment and completion bonus may only be paid into the member's normal pay account.

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Annex 3.5.ZA (Military instructors scheme)

insert at the end
the Annex set out in the Attachment.
NOTE
1. / Defence Determination 2005/15 commenced on 31 May 2005. For previous amendments see Note to Defence Determination 2007/1 and see also Defence Determinations 2007/2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37, 38, 39, 40, 41, 42, 43, 44, 45, 46, 47, 48, 49, 50, 51, 52, 53, 54, 55, 56, 57, 58, 59, 60, 61, 62, 63, 65 and 66.

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ATTACHMENT

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Annex 3.5.ZB: Medical Officer retention benefit scheme

This application is in five parts.

Part A – provides information about the scheme, and is for you to keep.

Part B – is your application to join the scheme.

Part C – provides your election about how the payments are to be paid.

Part D – provides additional payment information if you choose to pay the money into a superannuation fund.

Part E – provides an application for extension of time to serve your agreed period of service.

Part A: Application information

I am applying for the Medical Officer retention benefit scheme. This is authorised under Chapter 3 Part 5 Division 27 of Defence Determination 2005/15, Conditions of Service, made under section 58B of the Defence Act 1903 ('the Determination').

I understand that my application for this scheme is subject to the following terms and conditions.

1. / I meet the requirements to be eligible to apply for the scheme under this Determination.
2. / I will be paid anattractionpayment when my application for the scheme is accepted.
3. / I will be paid a completion bonus at the end of my agreed period of service if the period is all effective service.
4. / I may be paid a pro rata bonus payment at the end of my agreed period of service if the period includes ineffective service. In some cases, I will be able to extend my service to complete the agreed period of effective service.
5. / I may elect to pay the scheme payments into a superannuation fund using the form provided at Parts C and D.
6. / I am advised to seek professional legal and/or financial advice about this decision. ADF members are not qualified to provide this advice.

Full details of the Medical Officer retention benefit scheme are contained in Chapter 3 Part5 Division27 of Defence Determination 2005/15, Conditions of Service.