Australia to pay soldiers bonus to stay as strategic risks rise

(FILES) A file photo taken on May 9, 2019 shows Australian Army soldiers firing a Javelin anti-tank missile during Excercise Chong Ju, a live fire demonstration showcasing the army's joint combined arms capabilities, at the Puckapunyal Military Base some 100 kilometres north of Melbourne. - Australia launched its biggest defence shakeup in decades on April 24, 2023, vowing to turn a military that is "no longer fit for purpose" into a fighting force that could deter China or any would-be foe. (Photo by William WEST / AFP) AFP
A review found that Australia's defence posture was “not fit for purpose” amid rising competition between the United States and China. PHOTO: AFP

SYDNEY - Australia said on Tuesday it will pay military personnel A$50,000 (S$45,000) to stay beyond an initial service period, days after a review found that its defence posture was “not fit for purpose” amid rising competition between the United States and China.

Defence Minister Richard Marles said the number of defence personnel was 3,400 below the positions funded, and there was a retention problem.

“We have an issue in terms of making sure that we are recruiting the number of defence force personnel that we need,” he told reporters in Canberra.

The retention bonus will be paid to personnel who stay on after completing a mandatory period of service, which is typically three years.

The government last week backed the recommendations of a Defence Strategic Review, which said Australia must prioritise long-range precision strike capability, domestic production of guided weapons, and diplomacy.

Mr Marles said the review had made clear that Australia’s defence posture “is no longer fit for purpose, by virtue of the complexity of the strategic circumstances that we face”.

“We’re now working through with a sense of controlled urgency to reshape our defence force,” he added.

The review said the US was no longer the “unipolar leader of the Indo-Pacific”, that intense competition between the US and China was defining the region, and that the major power competition had “potential for conflict”.

China is undertaking the largest military build-up of any country since the end of World War II, which was occurring “without transparency or reassurance to the Indo-Pacific region of China’s strategic intent”, the review said.

Australia and Singapore held bilateral defence, trade and foreign policy discussions on Monday in Canberra.

Singapore’s Defence Minister Ng Eng Hen told reporters that Australia, as an Asian country, can play a bigger role in regional security.

“When your submarines are ready, we would welcome them to call on our ports, we’ll facilitate,” he said, referring to the nuclear-powered submarine fleet Australia will acquire in the next decade through the Aukus partnership with the US and Britain. REUTERS

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