ESP is paid at a set weekly rate regardless of the employee's salary. The figure is set for 12 months beginning on 1 July each year. There are no restrictions on the way employers use the money.
The Australian Bureau of Statistics has published February trend estimates for average weekly earnings, including Average Weekly full-time adult Ordinary Time Earnings (AWOTE).
The AWOTE for Employer Support Payments (ESPs) for the Financial Year 2008/09, relating to periods of continuous Defence service on or after 1 Jul 08 (after entitlement is established including the qualifying period of two weeks), is $1,123.30. This rate will remain in effect until 30 June 2009.
What is the AWOTE?
The AWOTE is the average weekly full-time adult ordinary time earnings for Australia, based on figures from the Australian Bureau of Statistics. The AWOTE remains as the ESP weekly rate for a period of 12 months, commencing on 1 July of each year. After the annual Qualifying Period has been completed, the employer is eligible to receive an amount equivalent to the AWOTE for each week of continuous Defence service, or a pro rata portion of the AWOTE for partially completed weeks of continuous Defence service.
How much can be paid?The total payment of ESP to an employer of a Reservist for one week of Defence service cannot exceed the weekly ESP payment rate (the AWOTE), unless higher level payments are approved on a financial hardship/loss or CDF capability basis. Previous Payment Rates
Historical weekly payment rates (AWOTE) since the commencement of the ESP scheme in June 2001 are as follows:
FROM | TO | RATE |
5 June 2001 | 30 June 2001 | $804.70 |
1 July 2001 | 30 June 2002 | $809.70 |
1 July 2002 | 30 June 2003 | $860.10 |
1 July 2003 | 30 June 2004 | $899.80 |
1 July 2004 | 30 June 2005 | $948.00 |
1 July 2005 | 30 June 2006 | $991.20 |
1 July 2006 | 30 June 2007 | $1035.90 |
1 July 2007 | 30 June 2008 | $1070.40 |
| 1 July 2008 (current) | 30 June 2009 | $1,123.30 |