Publication:Sea Talk Winter 2004/Ins and outs of HDA
Higher Duties Allowance (HDA) is paid to members who are required to perform the duties of a 'higher' position on a temporary basis.
The general shift to competency based remuneration structures for ADF trades and specialisations has generated many queries regarding entitlement to, and payment of HDA.
In particular, the approval of skill graded structures within categories, which attract successively higher pay groups and which also require the member to meet specified criteria for advancement in skill level to earn that higher pay group, has generated numerous interpretations of entitlement to HDA.
Competency Based Structures.
In a skill-graded career structure, by definition, unless a member is certified competent at the higher skill level, he/she cannot be eligible for payment at that skill level. This has been an underlying predication behind the DFRT's approval of the graded career progressions.
Members must possess all the required skills and experience, and be deemed competent prior to being remunerated at a higher skill level within their employment category.
Therefore, the practice of paying HDA within the same rank, for higher skill grade positions should not be approved. Additional definitions have been added to the PACMAN to clarify the personnel to whom HDA may be payable, and the circumstances under which it may be payable.
Consequently, the Determination now specifies that HDA can only be paid for performance of duties of a position of higher rank.
Trainees and Reclassification
The current PACMAN provides clear guidance on who is eligible to receive HDA, specifically in the case of trainees and PTE/PTE (P) equivalents. Inboth cases, members are not to be paid HDA. In the case of membersundertaking training, they can not fulfill the role of a qualified member.
In the case of PTE/PTE (P) equivalents, there is no significant shift in the level of responsibility, therefore members do not warrant additional remuneration.
Increments
Specified within the text of the revised Determination is that increments are not to apply, nor are the special rates of salary to apply for the purpose of calculating HDA payable.
The intent behind the Determination is that HDA is meant to be a temporary compensation mechanism to cover short-term absences.
The current Determination specifies that a posting constitutes a direction to perform higher duties, however it is still a temporary measure, pending the appropriate staffing of the position.
Should more permanent measure be required, consideration should be given to the application of other provisions such as Temporary or Acting rank.
Approval More Than Two Ranks
The authorising officer for the direction and performance of higher duties for more than two ranks above the member's worn rank is the CDF or delegate (DGNPT, DGPERS-A and DGPERS-AF), however authorised officers are now required to provide written justification addressing specific criteria when forwarding requests for payment of HDA above two ranks to the delegate.
That said, in most circumstances members will normally be recommended 1 rank higher under the partial performance criteria as few members would meet all the competencies of 2 ranks higher than their substantive rank.
SNCOs and Above in Officer AppointmentsAs several Pay Groups of SNCOs and above are currently remunerated higher than junior officer appointments, the previous HDA Determination did not provide scope for increased remuneration for the member. In several cases, members were paid against Schedule 3, the special rates for SNCOs who undertook a commission.
This was incorrect and to address this issue the 5% rule has been introduced. This allows members in this situation to be paid 5% of their base salary (exclusive of Service and Uniform Maintenance Allowance) to reward them for the additional responsibility of the higher appointment.
