Annual reporting of chief executive remuneration
Cabinet has agreed that remuneration paid to Public Service and Crown entity chief executives should be disclosed annually in one location. This provides transparency for the taxpaying public around the level of remuneration received by senior State servants.
The information disclosed each year presents the total remuneration actually received by each chief executive for the financial year in $10,000 bands. Total remuneration includes any benefit received by the chief executive that is specified in their employment agreement, such as performance pay, employer contributions to superannuation, the value of the use of a vehicle, any annual leave in excess of the 20 days per annum, and any end of term entitlements paid.
Chief executives' reported remuneration may vary significantly from year to year. This may reflect:
- The timing of pay periods during the year, which may result in a chief executive receiving 27 fortnightly pays during the year. This occurred in 2014/15.
- The timing of performance and remuneration reviews and performance payments can result in one or more than one performance payment being made during the year, and back-pay of any remuneration increases. In 2014/15 performance payments for Public Service chief executives covered a performance period of six months only and were pro-rated accordingly.
- Measured job size increases leading to an increase in remuneration (chief executive job sizing is undertaken by independent consultants).
- Entitlements on the last day of duty, which may include retiring leave, annual leave not taken, employer superannuation payments owing on end of term entitlements.
The report on the remuneration received by State sector senior executives in 2014/15 is available here.