Section 1 - Executive Summary
(1) This Framework outlines the University of Newcastle’s (University) commitment to equitable, ethical, legally compliant and financially sustainable remuneration, reward and benefits for all staff.
(2) This Framework supports the University's primary goals of teaching, learning and research by enabling the attraction, retention, recognition and rewarding of staff through remuneration and a range of other benefits.
Top of PageSection 2 - Purpose
(3) The University's remuneration, reward and benefits framework comprises remuneration, employment benefits, professional development opportunities, career progression, promotion and recognition mechanisms that support attraction, retention
and recognition of staff.
(4) This Framework should be read in conjunction with the following documents which address specific remuneration or reward elements:
- Salary Loadings Procedure;
- Salary Packaging Procedure;
- Study and Reimbursement of Fees Procedure;
- Special Studies Program Procedure;
- Casual Staff Time and Attendance Procedure; and
- Academic Promotion Procedure.
(5) This document supports the implementation of the University's Enterprise Agreements and should be read in conjunction with those documents. In the event there is inconsistency between the Enterprise Agreement and this supporting document, the
Enterprise Agreement prevails to the extent of the inconsistency.
Top of PageSection 3 - Scope
(6) This Framework applies to:
- all academic staff and professional staff covered by the University's Enterprise Agreements; and
- senior staff who are excluded from coverage under a University Enterprise Agreement.
(7) This Framework does not apply to staff of controlled entities.
Top of PageSection 4 - Definitions
(8) In the context of this document, the following definitions apply:
- “base rate of pay” means the hourly rate of pay according to a casual staff member’s position excluding any casual loading or allowances;
- “base salary” means annual salary excluding any allowances or additional payments, and may be defined by an applicable industrial instrument;
- “ordinary hours of work” and span of ordinary hours of work are set out in the relevant Enterprise Agreement;
- “salary loading” means an approved payment above base salary for a defined purpose and under documented conditions;
- “senior staff” means staff of the University who are excluded from coverage under a University Enterprise Agreement; and
- “total remuneration” means base salary plus superannuation, regular allowances (paid in accordance with the applicable industrial instruments); and annual leave loading.
Top of PageSection 5 - Remuneration, Reward and Benefit Policy Principles
(9) The following overarching principles establish the University's policy for all remuneration, reward and benefits:
- remuneration, reward and benefits of employment will attract and maintain high-quality staff and contribute to a high-performing institution, supporting the University's aim to be an employer of choice;
- remuneration, reward and benefits of employment must be compliant with relevant legislation, industrial and regulatory requirements;
- remuneration, reward and benefits decisions will be guided by the principles of merit, fairness and equity and will be applied in a transparent and consistent manner;
- remuneration levels and conditions of employment will be established according to strategic and operational requirements, and the broader economic environment in which the University operates;
- remuneration and benefits arrangements will support both the operational requirements of the University and the needs of staff; and
- remuneration and reward decisions should reflect ethical considerations, including public trust, reputational risk, the University's social context and mission and its public purpose and community expectations.
Top of PageSection 6 - Remuneration and Reward Commitment
(10) The University is committed to:
- determining remuneration having regard to work value, classification standards, job evaluation and remuneration benchmarking;
- using structured methodologies to assess role complexity and contribution in a consistent and evidence-based manner, supporting internal and external comparability and ensuring remuneration appropriately reflects the value and scope of each role;
- ensuring effective systems are in place to provide staff with accurate and timely remuneration in accordance with applicable industrial instruments, legislation, employment contracts and University policy;
- remunerating staff for authorised work performed on behalf of the University, including approved additional hours, overtime, penalties and allowances where eligible and applicable; and
- observing minimum engagement and minimum payment requirements prescribed by applicable industrial instruments and employment arrangements.
Top of PageSection 7 - Remuneration and Reward Elements
Salary Loadings
(11) Salary loadings are an exception to the normal remuneration arrangements and must serve a clear attraction, retention, market or temporary responsibility purpose.
(12) In addition to the overarching principles for remuneration, reward and benefit, salary loading decisions must be evidence-based, affordable, and appropriately confidential.
(13) Salary loadings must be subject to defined durations, review, funding sources, and cessation conditions, unless otherwise approved by an authorised delegate.
(14) Salary loadings are managed in accordance with the Salary Loadings Procedure.
Salary Packaging
(15) Salary packaging is a key benefit that enhances the University's reputation as an employer of choice, providing incentives to eligible current and prospective staff.
(16) Salary packaging is designed to provide an opportunity to structure remuneration in a tax effective manner, in accordance with Australian taxation laws.
(17) Salary packaging will be managed in accordance with the Salary Packaging Procedure.
Professional Development
(18) The University may provide professional development opportunities and programs as part of its reward and benefits framework to support staff development, capability enhancement and institutional priorities.
(19) The University will invest in reward, benefit and development initiatives that support both staff development and the achievement of University objectives.
(20) Access to University-funded professional development programs is not automatic and may be subject to eligibility requirements, performance, organisational priorities, operational requirements and available funding.
(21) The University may link access to certain professional development opportunities to demonstrated performance, contribution, capability development and organisational priorities.
(22) For professional staff, please see the Study and Reimbursement of Fees Procedure for further information.
(23) For academic staff, please see the Special Studies Program Procedure for further information.
Academic Promotions
(24) The University recognises career progression and advancement opportunities for academic staff as important components of its reward framework.
(25) The University's reward framework recognises the diverse ways academic staff contribute to institutional success, including leadership, professional practice, teaching, research, engagement, innovation and service.
(26) Academic promotions processes, where appropriate, will consider achievement relative to opportunity and recognise the impact of individual circumstances on opportunities for contribution and development.
(27) Promotion opportunities will support academic staff at different career and professional stages through remuneration, recognition, development and advancement opportunities.
(28) Academic promotions are managed in accordance with the Academic Promotions Procedure.
Top of PageSection 8 - Requirements
(29) The University will establish and maintain systems, controls, governance arrangements and assurance processes to ensure staff remuneration and benefits are consistently applied and accurately provided in accordance with applicable workplace legislation, employment contracts, industrial instruments, enterprise agreements, University policies and regulatory requirements.
(30) The University will undertake an annual Gender Pay Gap analysis of like-for-like, by-level and organisation-wide pay gaps. The outcome and any recommendations, actions and/or targets will be reported annually in accordance with the Workplace Gender Equality Act 2012 (Cth).
(31) Remuneration decisions and approvals, as required, should consider remuneration benchmarks against relevant public sector entities and internal relativities having regard to the ethical and responsible stewardship of University resources, long-term financial sustainability, public accountability, public trust and confidence, reputational risk, and the University's mission, values and social purpose.
(32) Remuneration, reward and benefit information must be maintained in accordance with the University's Records Governance Policy and Privacy Management Plan.
Top of PageSection 9 - Remuneration Review
Professional Staff (excluding Senior Staff)
(33) Review of remuneration for professional staff, excluding senior staff, is subject to the reclassification provisions of the relevant Professional Staff Enterprise Agreement.
Senior Staff Annual Remuneration Review
(34) The University recognises the importance of providing competitive, performance-linked remuneration and other arrangements to retain highly skilled and effective senior staff.
(35) The University will review the total remuneration of senior staff on an annual basis. The review does not guarantee the senior staff member will receive an increase to their total remuneration. Any increase to the senior staff member's total remuneration will take effect within 14 days of the review.
(36) A senior staff member will only have their total remuneration reviewed if they have been employed by the University and performed work for more than 6 months in the relevant performance year.
(37) In alignment with the principles of remuneration, reward and benefits, an annual review will be linked to transparent, measurable performance outcomes that have been agreed to and are aligned to University strategy.
(38) The annual review may take into account factors such as:
- the current senior staff remuneration structure;
- the senior staff member's individual performance and the University's performance;
- the economic environment, including inflation, legislative or regulatory requirements and local and international economic conditions; and
- the University's ability to fund remuneration increases and whether any proposed increase is within the budget set by the University for remuneration increases.
(39) A senior staff member will only have their total remuneration adjusted if they have been subject to a successful total remuneration review and the University (in its absolute discretion) has made the decision to adjust the total remuneration.
Senior Staff Benchmarking
(40) From time to time, at the discretion of the University, but no more than once during the term of a senior staff member's employment agreement, a total remuneration benchmarking process for the senior staff member will be undertaken, if requested by the senior staff member.
(41) The benchmarking process will be led by the Chief People and Culture Officer and have the intent of ensuring remuneration packages remain competitive and suitable to attracting, retaining and rewarding high quality personnel. The benchmarking process will involve, as far as possible, using market data within the Australian university market and overseas university markets.