PM won pay rise for Kerr

By David Wroe
January 1, 2005

Gough Whitlam didn't just appoint the man who sacked him - he orchestrated a pay rise and an automatic pension to secure Sir John Kerr's services as governor-general.

As revealed today, Whitlam proposed to cabinet on February 25, 1974 that governors-general automatically receive a pension equal to that of the chief justice of Australia.

Two days later, he announced Kerr's appointment as governor-general.

Some in the ALP grumbled that Whitlam had recommended Kerr to the British Crown (which, as a formality, makes the actual appointment) without consulting colleagues.

According to Alan Reid's book The Whitlam Venture, Whitlam consulted Lance Barnard, who was "positive Kerr would accept, especially if the salary . . . was improved and provision made for retirement benefits".

Since August 1970, governors-general have been entitled to a pension of $7500 a year on a "needs basis" or $6000 for their widows.

Some former viceroys received the pension, while others, such as the Duke of Gloucester and Lord Casey, did not.

Whitlam offered several options but suggested the pension should not be retrospective.

Whitlam got his way on April 9, when he secured a pay rise for the governor-general from $20,000 to $30,000 a year and a pension equal to that of the chief justice.

However, on November 11, 1975, Kerr dismissed Whitlam's government and appointed the Liberal-Country coalition to form an interim government.