Purpose
The NSW Government Sector Executive Relocation Expenses Framework (‘the Framework’) outlines the relocation expense allowances payable to an executive where that executive is required to relocate to undertake a role in the NSW government sector.
A high performing NSW government sector is best supported by a diverse and highly skilled executive workforce, drawn from the government, private and not-for profit sectors and from local, state, national and international labour markets.
The Framework provides for a uniform and consistent set of practices across the government sector. The nature of the relocation expenses on offer will enable the attraction of the best talent, within parameters which recognise the NSW government’s position in the labour market.
A relocation expenses package is only available where:
- The employer of the executive has determined that the candidate is ‘outstanding’ in that they are the best candidate in the recruitment field and their expertise/experience justify the relocation support, and
- The executive is to be employed in the government sector in a location other than where they currently reside and it would be unreasonable without support to require the executive to relocate.
The relocation expenses package may include a post-hire commuting component where an executive has commitments that will delay relocation but the employer requires them to commence immediately.
As provided in this Framework, a relocation expenses package may also be available where an executive is required to relocate once employed.
The Framework provides for reimbursement of:
- Reasonable actual relocation expenses on an acquittal basis, plus
- Contribution to reasonable eligible expenses, within defined limits, on an acquittal basis up to the relevant tier cap.
The tier caps contained in this Framework will be updated on a regular basis to reflect Consumer Price Index (CPI) movements.
Who does the Framework apply to?
Pursuant to clause 38(2) of the Government Sector Employment Regulation 2014, the Public Service Commissioner has determined that allowances in respect of reasonable relocation expenses are payable to Public Service senior executives in the circumstances and amounts provided for by this NSW Government Sector Executive Relocation Expenses Framework.
Compliance with the determination is mandatory for all Public Service agencies.
Other government sector agencies and NSW public sector agencies (such as State owned corporations) are strongly encouraged to implement the Framework.
The Framework does not apply to award based employees.
Categorisation of executive roles by ‘tiers’
Executive roles (for the purpose of the Framework, the term role includes a position) have been categorised in this Framework as either Tier 1 or Tier 2 for the purposes of determining the applicable cap in relation to post hire relocation support (up to $65,000 for Tier 1 executives and up to $25,000 for Tier 2 executives).
The categorisation of an executive role as either Tier 1 or Tier 2 is primarily based upon the Public Service senior executive (PSSE) bands (four bands, including the Secretaries band).
Non-Public Service agency heads should adopt the same approach in relation to categorisation of executive roles in their agencies based upon the role’s remuneration i.e. a role should be determined as a Tier 1 role if its remuneration is within the range for a PSSE band 4 (Secretaries band) or band 3 or, if a specialist position, band 3 or 2. The remaining executive roles would be Tier 2.
The remuneration range for each PSSE band is determined annually by the Statutory and Other Offices Remuneration Tribunal (SOORT) and the latest determination can be found on the Tribunal’s website.
Tier 1 and Tier 2 categories of executive roles
The following table summarises which executive roles fall within the Tier 1 and Tier 2 categories and the applicable cap in relation to post hire relocation support.
| Tier | Type of roles | Reimbursement of reasonable costs - no cap | Contribution of costs to eligible expenses - cap |
|---|---|---|---|
| 1 |
| On an acquittal basis – no cap | Up to $65,000 |
| 2 | Other executives roles | On an acquittal basis – no cap | Up to $25,000 |
Definition of an executive role
For the purpose of this Framework an executive role is a role whose remuneration is equal to or above the minimum of the range for the Public Service senior executive band 1 but excludes award based employees. The determination took effect on 9 November 2016.
Review of the Framework
The Framework is a new approach to determining executive relocation expenses in the NSW government sector. As such, there will be a review of the Framework two years after its initial publication to ensure the Framework in its application meets the intended purpose of attracting the best executive talent to the NSW government sector in the context of the NSW government’s position in the labour market.