For members, commanders and administrators, compliance requires attention to timing, documentation and cross-referencing of external instruments. The following steps are practical actions grounded in the Determination’s text.
Step 1: Verify trigger and identification
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Confirm the transfer decision under s 16 of the Defence Regulation. Eligibility requires a CDF decision under s 16 to transfer the member from the Permanent Forces to the Reserves in the interest of the Defence Force for workforce planning reasons (s 2.3.22(1)(d)). Obtain and record the formal CDF decision and the date the member was notified.
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Confirm identification under the Military Personnel Policy Manual. The member must have been identified for a command-initiated transfer to the Reserves for the purpose of Part 10 Chapter 7 of the Military Personnel Policy Manual as published on 19 December 2016 (s 2.3.22(1)(c)). Obtain the relevant identification paperwork or electronic record.
Step 2: Check timing conditions
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Ensure the transfer occurs within 30 days of notification. Section 2.3.22(1)(e) requires transfer to the Reserves within 30 days of notification of the CDF’s decision. Schedule administrative steps so the transfer is effective within that 30-day window.
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Confirm at least 12 months remaining in the period of service. Verify the member has at least 12 months remaining before the day the member’s period of service is expected to end (s 2.3.22(1)(b)). Determine whether the member’s period of service ends by reference to retirement age or the last day of any fixed period of service, whichever is earlier.
Step 3: Screen for disqualifying matters
- Check for investigations, disciplinary action, show-cause notices, or recent administrative sanctions. Section 2.3.22(2) disqualifies members in these situations. Obtain complete administrative and disciplinary records to certify absence of such matters.
Step 4: Compile service history and prior payments
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Document continuous full-time ADF service. Produce a dated record of completed years and fractional years of continuous full-time service in the ADF to compute the fortnightly-per-year entitlement (s 2.3.23 item 1).
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Identify prior non-ADF service recognised for long service leave. Locate records and determinations under Chapter 5 Part 5 to quantify prior non-ADF service that counts for long service leave (s 2.3.23 item 2).
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Collect evidence of prior redundancy/retirement payments. Item 3 requires offsets for any payments made by the Commonwealth or any employer of a special benefit, redundancy payment, or management-initiated early retirement benefit. Secure payroll records, separation agreements, or employer statements to identify amounts that must be offset.
Step 5: Calculate the quantum
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Calculate the service-based sum. For each completed year of continuous full-time ADF service, calculate one fortnight’s salary, add pro rata for part years, and do the same for any recognised prior non-ADF service (s 2.3.23 items 1 and 2). Deduct any prior payments (item 3).
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Compare with the 48-week cap. Compute 48 weeks salary and take the lesser of the two amounts as the payable special benefit (s 2.3.23(1)(b)).
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Include Service allowance. Ensure the salary definition includes Service allowance as provided under DFRT Determination No. 11 of 2013, using the version of that Determination in force at the time payment is calculated (s 2.3.23(2)).
Step 6: Document payment decision and notify member
- Record the calculation, the evidentiary basis for offsets and the decision to pay or not to pay. Ensure the member is provided formal notice containing the calculation and references to s 2.3.22 and s 2.3.23 as applicable.
Step 7: Manage repayment risk and obligations
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Advise the member of the one-year clawback. Before paying, provide the member with clear written notice of the repayment obligation in s 2.3.25 and obtain acknowledgement. Record the payment date carefully to define the one-year window.
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Establish repayment procedures in policy. Because the Determination does not specify recovery mechanisms, Defence should have an internal policy that sets out repayment process, timing and recovery options to give members clarity and to permit consistent enforcement.
Record-keeping and audit trail
- Maintain complete and auditable records of the CDF decision, the identification under the policy manual, the timing of notification and transfer, the service history, prior payments and the computation of salary and allowances. As the Determination relies heavily on external documents, keep contemporaneous copies of the Military Personnel Policy Manual version used and the DFRT Determination version used for the calculation.
Cross-checks and controls
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Financial control. Have Defence Finance perform an independent reconciliation of prior payments to ensure correct offsets and to guard against overpayment.
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Legal and human resources review. Before payment, have legal counsel and HR or people-policy staff review eligibility and any disciplinary background to avoid paying someone who is ineligible under s 2.3.22(2).
Practical tips
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If the member has prior employer payments whose character is ambiguous, obtain written confirmations from the prior employer describing the payment. That reduces later disputes about whether the payment is an offset under item 3.
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Where transfer timing risks the 30-day requirement, consider administrative steps to document why a transfer could not occur within 30 days, though the Determination contains no express discretion to extend that deadline.
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Keep a register of all special benefit payments and repayments, including dates of re-engagement, to facilitate recovery and to generate management information about costs and re-entry patterns.
In sum, compliance requires rigorous documentation of the CDF decision and identification, tight scheduling of transfers, complete service and payment records for calculation and offset purposes, and clear communication to members regarding the one-year repayment obligation.