Document ID: chunk:federal_register_of_legislation:F2024L00795:reg:31
Version: federal_register_of_legislation:F2024L00795
Segment Type: reg
Provision Reference: reg 31
Character Range: 24663–26804

31  Entitlement to compensation for loss of office
 (1) A PEO is entitled to compensation for loss of office if the PEO's appointment is terminated prior to the expiry of the term of the PEO's appointment, unless an exclusion event occurs.
 (2) The compensation payable is calculated on the basis of one‑third of 1 month of reference salary for each month of service remaining in the term of the PEO's appointment with:
 (a) a minimum payment of 4 months of reference salary; and
 (b) a maximum payment of a year of reference salary.
 (3) The Commonwealth may calculate service remaining by excluding any period of Commonwealth service in alternative employment to be performed during the remaining term of the appointment where the alternative employment commenced immediately after the termination. The Commonwealth may require the PEO to sign a release in return for the payment.

Exclusion event
 (4) An exclusion event is any of the following events:
 (a) the PEO resigns or retires;
 (b) the PEO serves the PEO's full term of appointment;
 (c) the PEO's appointment terminates prematurely for reasons of misbehaviour or unsatisfactory performance;
 (d) the PEO's appointment terminates prematurely because the PEO is not able to perform the duties of the office because of physical or mental incapacity;
 (e) the PEO:
 (i) becomes bankrupt; or
 (ii) applies to take the benefit of any law for the relief of bankrupt or insolvent debtors; or
 (iii) compounds with the PEO's creditors; or
 (iv) makes an assignment of the PEO's remuneration for the benefit of the PEO's creditors;
 (f) the PEO is offered suitable alternative employment (including in a Commonwealth company (within the meaning of the Public Governance, Performance and Accountability Act 2013) or Commonwealth entity (within the meaning of that Act)).
 (5) Without limiting paragraph (4)(f), an offer of suitable alternative employment is taken to have been made to the PEO if the PEO is:
 (a) on leave without pay or some other form of authorised absence from APS employment; and
 (b) able to resume that employment following the termination of the PEO's appointment.