All Australian Defence Force personnel will receive a pay rise of 11.2 per cent over three years after approval from the Defence Force Remuneration Tribunal.
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Under the Workplace Remuneration Arrangement (WRA) 2023–26, personnel will receive the increase to their salary and salary-related allowances with no loss of conditions of service after the agreement was reached during the latest WRA on 3 October.
The increase will be distributed as 4 per cent in year one, 3.8 per cent in year two, and 3.4 per cent in year three.
The new arrangement takes effect from 9 November and ADF personnel will see the first 4 per cent increase in their pay on 23 November. The subsequent pay rises will occur in November 2024 and November 2025.
Chief of the Defence Force General Angus Campbell said he was committed to recognising in salary people’s skills and contribution to capability, particularly as Defence undergoes a period of significant change while it implements the Defence Strategic Review (DSR).
“One of the DSR’s critical priorities is to ensure that we have an integrated force to deliver enhanced combat power. To achieve this, we must retain and grow our workforce,” GEN Campbell said.
Earlier this year in May, the federal government announced a $50,000 bonus payment to incentivise the retention of a highly skilled Defence workforce under the Continuation Bonus initiative.
Under that agreement, made available from 2024, permanent Australian Defence Force personnel who undertake another four years after their end service date would receive the bonus. Personnel would have to have served a minimum of four years and be at the end of their initial mandatory period of service.
“Initiatives to improve the growth and retention of a highly skilled Defence workforce” was identified as one of the six priority areas for immediate action when the DSR was unveiled by Prime Minister Anthony Albanese, Defence Minister Richard Marles, and Defence Industry Minister Pat Conroy on Monday, 24 April.
Deputy Prime Minister and Defence Minister Richard Marles said the federal government is committed to meeting areas of concern outlined in the Defence Strategic Review.
“When it comes to Defence, our people are our greatest asset. We know Defence is facing greater challenges to recruit, retain, and grow its workforce than it has for decades,” he said in May.
“There is a lot of work to be done, but these investments will be an important step towards ensuring we have the highly skilled Defence Force needed to keep Australians safe.”
The incentive is expected to benefit around 3,400 ADF staff in the first three years of the scheme. It will be reviewed after two years to assess retention rates.
A $46.2 million expansion of the Defence Home Ownership Assistance Scheme was previously announced in the October 2022 budget. Several priority areas have been identified as impacting ADF members, these include contemporary and future housing needs, defence residences, and rental assistance policy review, review of current home ownership support benefits and policies, and home ownership for ADF members.