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RACGP Board Remuneration Policy


To describe the remuneration policy for Directors appointed to the Royal Australian College of General Practitioners Ltd (RACGP) Board.

In scope:
  • Board director fees
  • Fees paid to co-opted members of Board committees.
Out of scope:
  • Related Party Transactions, including fees paid to Faculty Chairs for the specific role as Chair of Faculty (i.e. for Faculty activities that are not related to the role as a Director)

1. Policy declaration

In accordance with best practice corporate governance standards, payments to Directors will be governed by clear and rigorous policy and process that guides the Board, Committees, Directors, to efficiently, effectively and transparently govern the RACGP.

2. Definitions

Conflict of Interest includes any situation where it could reasonably be concluded a Decision Maker’s capacity to make a Decision on a matter is influenced by the fact they hold other Interests. Conflicts of Interest include:

  • actual conflicts of interest, where duties and responsibilities owed to the RACGP conflict with duties, responsibilities or Interests external to the RACGP
  • potential conflicts of interest, where it is reasonable to conclude the line of decision making may lead to an actual Conflict of Interest in the future, and
  • perceived conflicts of interest, where despite the absence of any actual or potential Conflict of Interest, it is reasonable to conclude the circumstances surrounding the Decision Maker and the decision to be made are such that external perceptions of the process may conclude there was a Conflict of Interest, whether or not this was the case.

Constitution  means the RACGP’s Constitution.

3. Policy Statement

The remuneration policy has been developed to:

  • Attract and retain Directors and Co-Opted Committee Members with the skills, knowledge and experience that are aligned with the RACGP’s values, purpose, goals, and strategic objectives.
  • Acknowledge the capacity and capability that is required to deal with the complexities and interrelationships of the primary health care sector, standards and accreditation, strategic planning, financial management, organisational performance management and stakeholder management.
  • Acknowledge the time commitment to prepare for and attend Board and Committee meetings and other College activities, and to remove economic barriers to committed and talented General Practitioners from contributing to the College.

4. Remuneration Principles

This policy is intended to remunerate Directors appropriately in accordance with the following principles: 

  • This policy will consider best practice corporate governance standards, including the Australian Charities and Not-for-profits Commission Governance Standards, RACGP and Director specific factors as well as external market factors.
  • Remuneration will be aligned through external reviews, to be conducted at least every three years, and more frequently as determined by the Board, with the average market remuneration for an organisation in the not-for-profit sector of comparable size.
  • The total amount of remuneration for the Board as a whole must be approved at the AGM annually.
  • Where the Constitution and Related Documents and Procedures allow additional reasonable and proper remuneration for services rendered or goods supplied in the ordinary course of business this must be disclosed and if appropriate the activity have previously been approved by the Board. Out of pocket expenses will be reimbursed in accordance with the RACGP Related Party Transaction policy and reported appropriately as a related party transaction.
  • Between market reviews, remuneration indexation is to stay in line with the annual CPI rate as published by the Australian Bureau of Statistics. Where CPI exceeds 2.5%, Board remuneration CPI increase will be capped at 2.5%, or less if the Board deems this appropriate.  

5. Remuneration Details

  • Directors will receive a basic, fixed fee (Director Fee) plus superannuation.
  • There will be differential remuneration for the Board Chair, President, Vice-President and Chairs of the Finance, Audit and Risk Management Committee and People, Culture, Nominations and Remunerations Committee.
  • External remuneration benchmarking will occur at least every 3 years, (in addition to CPI) to determine Director Fees, to ensure that the Fees remain competitive with not-for-profit professional bodies with similar revenue.
  • The remuneration structure is set out in the table below:
2022-23 Financial Year base
Director Fee per annum

2024-25 Financial Year base
$41,457.15 plus superannuation


$42,493.58 plus superannuation
Board Chair per annum

2024-25 Financial Year base
Director Fee plus $58,971.02 (plus superannuation)

Director Fee plus $60,445.30 plus superannuation)
Vice-President per annum

2024-25 Financial Year base
Director Fee plus $20,727.46 (plus superannuation)

Director Fee plus $21,245.65 (plus superannuation)
Chair of Finance, Audit and Risk Management Committee

2024-25 Financial Year base
Director Fee plus $20,727.46 (plus superannuation)

Director Fee plus $21,245.65 (plus superannuation)
Chair of People, Culture, Nominations and Remunerations Committee

2024-25 Financial Year base
Director Fee plus $20,727.46 (plus superannuation)

Director Fee plus $21,245.65 (plus superannuation)

5.1 Remuneration Details – President

  • The time demands of the role of President vary depending on the needs of the RACGP and will be confirmed annually with the Chair of the Board, the President and the CEO.
  • The increased role in recent years of advocacy both at state and federal levels has significantly increased the President’s responsibilities as the public face of the RACGP.
  • Presidential remuneration will include the Director Fee and a full-time equivalent (FTE) payment based on the number of days the President commits to the role.
2022-23 Financial Year base
Director Fee per annum

2024-25 Financial Year base
$41,457.15 plus superannuation

$42,493.58 plus superannuation
President per annum 2022-2023

President 2023 AGM to 2024 AGM
Director Fee plus FTE x (80% of $240,000) plus superannuation

$324,158 inclusive of superannuation
  • Remuneration indexation is to stay in line with the annual CPI rate as published by the Australian Bureau of Statistics. Where CPI exceeds 2.5%, the President’s fee CPI increase will be capped at 2.5%.
  • External remuneration benchmarking will occur at least every 3 years, (in addition to CPI) to determine the Presidential Fee, to ensure that the Fee remains competitive. External benchmarking was undertaken in June 2023.

5.2 Remuneration Details – Co-Opted Committee Members

  • Co-Opted Committee Members will receive a basic, fixed fee of $8,500 per annum plus superannuation.
  • External remuneration benchmarking will occur at least every 3 years to determine Co-Opted Committee Members Fees, to ensure that the Fees remain competitive with not-for-profit professional bodies with similar revenue.
  • Committees provide an opportunity for the Board to access skills, experience and expertise through the engagement of subject matter experts that contribute as co-opted Committee members.

5.3 Remuneration Details – Censor in Chief

  • The Censor-in-Chief role is a dual role that includes appointment as an RACGP Board director.  The Censor-in-Chief will receive Director’s Fees above their employment remuneration.
  • Fees paid to the Censor-in-Chief for their role as a director of the RACGP are considered Director’s Fees and contribute to the aggregate annual Directors Fees cap approved by members under the RACGP Constitution.
  • The Censor-in-Chief is also employed by RACGP to provide significant additional services that is separate to their role as a Director of the RACGP. These services include both education governance and policy responsibilities, as well as exam and assessment responsibilities.
  • Fees paid to the Censor-in-Chief for the professional and technical services provided under the terms of their employment are considered employee remuneration, as allowed by the Constitution at clause 104 (c), and distinct from Director fees.  The Censor-in-Chief role is benchmarked in line with the RACGP Executive roles.
  • The Censor-in-Chief remuneration will be disclosed as a related-party transaction.
  • The Censor-in-Chief role is defined by a Position Description.  This may vary from time to time depending on the needs of the RACGP, with any changes confirmed with the Chair of the Board, the Censor-in-Chief and the CEO.

6. Related policies, documents and legislation

  • RACGP Constitution
  • Code of Conduct
  • Conflict of Interest and Related Party Transactions policy

7. Administrative Procedures

  • This policy will be available via the RACGP Organisational policies webpage.
  • This policy will be reviewed annually.

 

Approved by: RACGP Board of Directors
Date: 15 September 2022 Board meeting
12 October 2023 PCNR Committee
Version: 1.1
1.2 – correction to section 5.1, added that a CPI increase was applied to the President Fee for FY 2022-23
2.0 Updated with fees proposed for 2023 AGM and the new rate for co-opted committee members. Removed reference to the average General Manager salary as the benchmark for the President Fee as this has been superseded.
Next Review: September 2024


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