Premier's Department Circular 1994-27 announced changes in public sector guidelines concerning Airline Frequent Flyer Schemes. These schemes are effectively loyalty rebates and need to be measured along with special fares which are now regularly and widely available within Australia and to and from overseas destinations.

The principal objective of every department should be to minimise overall travel and accommodation costs consistent with flexibility which might be required for travel.

Evidence suggests that most officials in State Administrations who travel by air do not accumulate enough points for economy class travel.

In the circumstances, there is little justification for agencies to meet the cost of joining or maintaining membership of any frequent flyer scheme or airline lounge facility unless a person is travelling frequently on official business, ie at least four times a month.

If a staff member wishes to join and maintain membership it is to be at his or her expense. Thus the costs will have to be matched against the benefits of having access to airport lounges and to other facilities.

If frequent flyer points are accumulated in the course of official business they should be used for official travel.

(K.P. Baxter)
Director General