2009

LEGISLATIVE ASSEMBLY OF THE
NORTHERN TERRITORY

CHIEF  MINISTER 

ASSEMBLY MEMBERS AND STATUTORY OFFICERS    (REMUNERATION AND OTHER ENTITLEMENTS) AMENDMENT BILL (No.2) 2009 

SERIAL NO. 67

EXPLANATORY STATEMENT

GENERAL OUTLINE

This Bill proposes to amend the way in which the basic salary entitlement of a Member of the Legislative Assembly is calculated, and to provide that in future years this entitlement is linked to the wage movements of the general Northern Territory public sector.

The current Act provides that an MLA’s basic salary entitlement is to be set at the same amount as the annual salary for a member of the House of Representatives, less $3000.  The amendments break the nexus with the pay of Federal parliamentarians, provides for an interim increase of 2.5% in accordance with the Territory Government’s ‘NT Public Sector Wages Policy 2009-2012’, and in future links MLA salaries to wage movements of the Territory’s general administrative and professional public sector.

These categories of employees are currently dealt with in the NTPS 2008-2010 Union Collective Agreement which expires on 9 August 2010.  It is anticipated that a new enterprise agreement will be negotiated to replace the current agreement; the applicable agreement will be prescribed by regulation.

NOTES ON CLAUSES

Clause 1.	Short Title

Sets out the name of the amendment Act.

Clause 2.	Commencement

This clause provides that the provisions of the Amendment Act will be taken to have commenced on 1 October 2009.  This date is relevant because it would have been the date the base salary of MLA’s  increased had the nexus with salaries of members of the House of Representatives been maintained.

Clause 3.	Act amended

Provides that the Act amends the Assembly Members and Statutory Officers (Remuneration and other Entitlements) Act 2006.

Clause 4.             Repeal and substitution of Section 3

This clause repeals Section 3 of the current Act, and replaces it with the following provisions which set out how the basic salary of Assembly members is to be determined:-

3(1)  Provides that an MLA is entitled to be paid a basic salary worked out under this section.

3(2)  Provides for an increase in the base salary of MLA’s of 2.5% effective from 1 October 2009.  This will apply up until the date of the next wage adjustment in the general Northern Territory public sector enterprise agreement for general administrative and professional employees. This date will be specified in a new enterprise agreement scheduled to commence in or about August 2010.

3(3)(a)  Provides that from the date of the next general public sector wage adjustment (as specified in the August 2010 Agreement), the base salary of MLA’s will be recalculated.  From that date the new rate of pay will be the base salary payable to MLA’s prior to 1 October 2009 adjusted by the percentage increase payable to the general Territory public sector.

3(3)(b) Limits the adjustment referred to in subsection (a) so that at the time of calculation it would not exceed the annual rate of salary for a member of the House of Representatives, less $3000.  

3(4)(a)  Provides that from the date of the next general public sector wage adjustment after the one referred to in subsection 3(3), the base salary of MLA’s will be linked to general wage movements of the Territory public sector.

3(4)(b) Limits the adjustment referred to in subsection (a) so that at the time of calculation it would not exceed the annual rate of salary for a member of the House of Representatives, less $3000.   

3(5) Provides definitions of the words and phrases used in the section.