This document is part of the Victorian Public Service executive employment resource.

This section provides information about executive employment conditions.

Summary

  • Executives are entitled to standard leave entitlements such as 20 days annual leave, 15 days personal/carer’s leave and three months long service leave after ten years’ service that may be accessed, pro rata, after seven years.
  • An executive undertaking a temporary assignment at a higher band level may be paid a higher duties allowance.
  •  Relocation arrangements must be agreed to by the employer prior to the executive accepting the offer of employment.

5.1 Leave Entitlements

Executives are eligible for the following leave entitlements (some of these entitlements are dependent on a minimum length of service – check the contract for specific eligibility requirements):

Annual leave: 20 days paid leave per year – accumulating on a daily pro rata basis from employment commencement date. Cashing out of annual leave is permitted, consistent with the VPS enterprise agreement.

Personal leave: 15 days paid leave per year, cumulative.

Parental leave – Primary caregiver leave (including birth or adoption): 16 weeks paid leave and 36 weeks unpaid.

Parental leave – Secondary caregiver leave (including birth or adoption):

  • 4 weeks paid leave; and
  • 12 weeks additional paid leave if you assume primary responsibility for the care of a child and your spouse is not concurrently taking primary responsibility for the care of the child; and
  • unpaid leave to bring the total available paid and unpaid leave to 52 weeks.

Special parental leave: paid leave for such periods that a registered medical practitioner certifies as necessary following termination of pregnancy after 20 weeks and unpaid leave after that.

Pre-natal leave: 38 hours per pregnancy for routine medical appointments associated with pregnancy or 7.6 hours per pregnancy if you have a spouse who is pregnant.

Pre-adoption leave: 2 days paid leave for attending compulsory interviews or examinations as part of the adoption process.

Permanent care leave: entitlement to access parental leave if you are granted a permanent care order in relation to the custody or guardianship of a Child and will be the primary or secondary caregiver.

Grandparent leave: 52 weeks’ continuous unpaid grandparent leave if you are or will be the primary caregiver of a grandchild.

Surrogacy leave: leave equivalent to the entitlements for pre-natal leave and six weeks paid leave.

Special surrogacy leave: paid leave for such periods that a registered medical practitioner certifies as necessary following termination of pregnancy after the completion of 20 weeks not exceeding the amount of paid surrogacy leave entitlement.

Foster and kinship leave: 2 days paid leave on up to 5 occasions per calendar year.

Gender transition leave: 4 weeks paid leave and up to 48 weeks unpaid leave.

Leave to attend rehabilitation program: paid or unpaid leave to undertake an approved rehabilitation program.

Cultural and ceremonial leave:

NAIDOC week leave: 1 day of paid leave per calendar year.

Leave to attend Aboriginal community meetings: leave to attend Aboriginal community meeting during working hours.

Leave to attend Annual General Meetings of Aboriginal community organisations: leave may be granted to you to attend Annual General Meetings of Aboriginal community organisations at which the election of office bearers will occur.

Ceremonial leave: 3 days paid leave per year.

Leave to participate in the First People’s Assembly of Victoria: 10 days paid leave per calendar year.

Defence reserve leave: leave up to a maximum period of 78 weeks’ continuous service if you are required to complete defence reserve service.

Military service sick leave: 114 hours of special leave with pay for each year of service with the VPS.

Jury service leave: leave with pay for the period during which your attendance is required.

Leave for blood donations: leave without loss of pay to visit the Red Cross Blood Bank as a donor once every 12 weeks.

Leave to engage in voluntary emergency management activities: leave with pay when required to attend a voluntary emergency management activity if you are required to attend at a time when you would usually be at work.

Voluntary community activities leave: 10 days per calendar year.

Participation in sporting events leave: 2 weeks paid leave in any two calendar year period may be granted to you to participate either as a competitor or an official in any non-professional state, national or international sporting event.

Study leave: paid leave may be granted to you to undertake an accredited course of study.

Leave of absence: Leave for study, training, research, or other employment. This leave is either paid or unpaid depending on the agreement between the employer and executive.

Compassionate leave: 3 days paid leave per event, plus additional leave depending on circumstances.

Family violence leave: 20 days paid leave per calendar year for medical appointments, legal proceedings and other activities related to family violence.

Accident compensation leave (WorkCover): Full or part-time leave is available over the period of up to 52 weeks as leave the result of a work-related injury. The employer will pay the difference between WorkCover compensation and the executive’s remuneration package for a period up to 52 weeks.

Long service leave: See section 5.2.

Infectious diseases leave: a special leave of absence with pay may be granted if an employee is unable to attend work due to legal restrictions as a result of them suffering from an infectious disease.

Other leave:

VPS Executives are entitled to the leave provisions set out in the executive contract and any additional leave provisions provided in this handbook.

Executives are also entitled to any additional leave entitlements outlined in the VPS Enterprise Agreement (in force at the time) to the extent these entitlements are not already covered in the contract or handbook.

Executives are not eligible for leave loading when accessing any form of leave. For full details of leave provisions, refer to the contract and current VPS Enterprise Agreement.

Note:

The annual leave entitlement accrues on a daily basis. Annual leave entitlements must be taken by the end of the calendar year following the calendar year in which they are accrued (unless otherwise agreed) and at a time convenient to the needs of the employer and the executive.

There is no limit to the accumulation of personal/carer’s leave. Unused personal/carer’s leave will not be paid out at end of employment.

Notice and evidence requirements for all leave entitlements above are set out in the executive contract and the VPS Enterprise Agreement.

5.1.1. Purchased Leave

Executives may purchase additional leave to supplement their normal leave allocation. Executives may negotiate with their employer to sacrifice an agreed number of weeks remuneration in return for additional leave during the year. The additional leave is then paid for by the executive over the full 52 weeks of the year; that is, the executive will receive remuneration equal to the period worked (e.g. 48 weeks) which is spread over 52 weeks.

The calculation is based on remuneration, e.g. an executive will be paid 48/52 of the contract remuneration if purchasing an extra four weeks of leave (note the exact formula is 48.179/52.179 to reflect the calculation of fortnightly pay).

Accrual of sick leave and long service leave remains unchanged.

5.2 Long Service Leave

“Service” for this purpose is the aggregate of service: a) in the Victorian public service; and b) with any public or private employer approved by the employer prior to the commencement of the executive contract.

An executive is entitled to three months paid long service leave for every ten years of continuous service in the VPS. Executives can access long service leave on a pro rata basis after an initial seven years of continuous service.

Executives, subject to the employer’s agreement, may take any or all of their long service leave at half pay over double the period to which they would be entitled.

Full details of long service leave entitlements, including access to entitlements after four years’ service if retiring or in other specific circumstances, can be found in the standard executive contract.

Service for the purposes of long service leave that has not been pre-approved by the employer shall be considered in accordance with the ‘recognised service’ clause within the VPS Enterprise Agreement. Nonetheless, any application for recognition of prior service must be made within six months of the executive starting employment in the VPS.

The table below outlines the entitlement and payment of long service leave based on the time an executive has spent in their role or the public service.

Entitlement Payment
Between 7 and 10 years

Leave can be taken on a pro rata basis.

Pay in lieu of leave on a pro rata basis if employment terminates or voluntary resignation.

Based on one day for every 40 calendar days completed.
Half pay – a longer period of leave can be taken on half pay.

Payment will be computed at half of what the employee would have been entitled to had they remained on duty during that period.

 

10 years
Three months leave with pay. Normal pay. Superannuation contributions will continue to be paid in full.
Half pay – a longer period of leave can be taken on half pay.

Payment will be computed at half of what the employee would have been entitled to had they remained on duty during that period.

 

After 10 years

One-and-a-half months leave with pay for

additional five years completed.

Normal pay. Superannuation contributions will continue to be paid in full.
Part-time hours
Part-time executives retain the same entitlements above. Payment is calculated on a proportionate basis for the period of the part-time hours.
Rate of pay-in-lieu of long service leave

Pay in lieu of leave:

–   at the end of employment (as a result of age retirement, ill health, death, termination of employment or voluntary resignation).

Payment is based on one day for every 40 calendar days completed.

For part-time workers, pay in lieu is calculated proportionately by FTE level (e.g. 0.6).

5.3 Higher Duties Allowance

The employer may pay a higher duties allowance for a temporary assignment that is at a higher band level. If the employer wishes to pay an allowance, the employer will determine an appropriate remuneration level for the period of the temporary assignment. Some examples are below.

Example:

  • An executive at band 3 level is asked to undertake an acting role for two months in a position that is at band 2 level. The employer may pay an allowance to the executive at an appropriate base salary within band 2 level for the two-month period.
  • An executive who temporarily undertakes a role that encompasses different responsibilities within the same band level. The employer may take this into account at the executive’s annual performance review.
  • A non-executive is assigned to an executive role at band 3 level. The employer may determine an appropriate allowance for the period of the assignment.

5.4 Relocation Policy

An executive who is relocated for a position may be reimbursed necessary and reasonable expenses of relocation for themselves, their family and their effects (for example, airfares, temporary accommodation costs during settling in and settling out periods, and insurance). Relocation expenses may be considered appropriate at the start and conclusion of a term of appointment. Optional expenses may also be reimbursed on a case by case basis. See Appendix B for further detail on relocation expenses.

Relocation arrangements should be agreed to by the employer prior to the executive accepting the offer of employment. Employers should ensure that agreed relocation terms are appropriately documented.

Any caps on relocation allowances decided between an employer and executive should be considered as an upper limit, not as an entitlement. The need and reasonableness of each individual item should be considered by the executive and employer.

The executive should keep track of expenses against agreed relocation terms and provide receipts for reimbursements as required by the employer.

5.5 Reimbursements

5.5.1. Travelling and Personal Expenses

Executives may be reimbursed for any necessary and reasonable expenses incurred during the course of their duties. Refer to the Victorian Public Sector Travels standards on reimbursement of expenses for official travel.

5.5.2. Telephone Expenses

Executives who make work-related calls or are required to be available by telephone outside normal working hours can have their service charges reimbursed by the employer. The reimbursement should be related to the number of work-related calls.

Employers should note that mobile devices (such as a mobile phone, iPad or laptop) are considered business expenses and should not be included in TRP.

5.6 Living Away from Home Allowance

An executive who is living away from home[1] may receive an allowance that reimburses additional costs incurred for living in another place. This arrangement would be for a short-term assignment and the allowance must be negotiated between the executive and employer.

Note:

  • Reimbursements may be subject to fringe benefits tax. Any fringe benefits tax liability must be included in the executive’s TRP. Refer to the ATO for more information.

5.7 Can executives be paid via a private company?

Executives cannot be paid via their private company. An executive is an employee of the public entity and a public official under the PAA. It is the executive who must be held accountable in the exercise of their functions – not their company.

Such an arrangement would not be an executive employment contract but the engagement of a contractor or a consultant. More importantly, in most situations, a contractor or consultant cannot hold key delegations, particularly financial delegations.

 


[1] A person is considered to be living away from a usual place of residence if, ‘but for a change in residence in order to work temporarily for the employer, the person would have continued to live at the former place’. It must also be the intention of the employee to return to the former locality.