Did you know that the South Pacific Division President’s total salary package is now $240,000?

The Australian Union Conference (AUC) Structure Review has now been completed. The purpose of this review was to examine “the current structure and day-to-day operations of the church” (AUC Structure Review Summary, 2018). This review took several years to be completed and was outsourced to consultants who were paid $750,000 to oversee the review. With the completion of this review, many members and ministers are concerned about factors that influence the outcomes of it. It is the prayerful hope that this letter accurately informs members and ministers of such factors, and that the subsequent discussion of these matters extends beyond the confines of private church leadership offices and boardrooms.

There is widespread agreement that the church’s operations and structure are outdated . Members and ministers are united in a search for greater efficiency and effectiveness to enable the Gospel to reach those in our communities.

However, in response to this scenario, church leaders are making decisions that are rarely, if ever, consulted with lay people – the actual tithe payers. Other than what are often regarded as tokenistic invitations for feedback, the church seems to be acting independent of the body of believers. Many see this authoritarian leadership as a kind of kingly power, removing the voice and vote from the membership. To express their frustration, many members vote the only way they can – either by not attending church (which is increasing, especially among younger people), and by withholding or diverting tithe to areas that they feel are fulfilling the Gospel commission.

One of the primary outcomes of the AUC Structure Review is the re-direction of trust and confidence of the church to the AUC leadership. It would be fair to ask: Can the AUC be trusted to govern the operation of the national church?

What is the financial state of the Australian Adventist Church?

The AUC is currently running a $1.5 million deficit
Greater Sydney Conference (GSC) is so worried by a fall in tithe that the conference is budgeting on a zero increase in tithe for 2020 (with the very real possibility of a tithe decrease)
NNSW Conference is currently running a $2 million deficit

Church Leaders’ Remuneration Packages

Despite these financial challenges, changes were made to the Division Wage Schedule (DWS) to increase the salaries of the South Pacific Division President (Glenn Townend), Australian Union Conference President (Jorge Munoz), Australian Conference presidents and other administrators. The initial plan was two-fold:

Lower church intern’s salaries (junior pastors)
Increase top-level church leaders’ salaries.

Subsequent protests from members and ministers to this proposal resulted in the decision to not lower church interns’ salaries, but to still push forward with increasing church leaders’ remuneration packages.

Administrators at the Division and AUC, as well as many other conferences, have raised their own salaries well above the average church pastor – and well in excess of inflationary rates. Church leaders argue that they bear so much responsibly that they deserve large salary increases. Do church leaders bear more responsibility than the nurse who cares for people in critical care? Or the teacher who has the imposing responsibility of nurturing dozens of students? Or the church member who works two jobs to pay their household bills?

According to the Australian Bureau of Statistics, the median income in Australia is $48,360 before tax. In regional areas, that figure is far lower (Australian Broadcasting Corporation, 2019).

It has been confirmed that the SPD President’s total remuneration package is now $240,000 and the Chief Financial Officer’s salary package is now $300,000.

Church leaders point to executive positions in the corporate world as being higher than their salary and are seeking to justify high salaries on this basis.

However, this logic fails to consider that many church leaders do not possess the same qualifications or experience as many of their corporate counterparts. It also neglects another important point: the Church is for mission, not for personal wealth accumulation.

When a minister enters into church work, they do so with the knowledge that they are not seeking remuneration at a corporate level. Many members find this further evidence that these church leaders are out-of-touch with those to whom they are supposed to minister. The widening gulf in salaries between church leaders and church pastors (and members) highlights the dissonance that underpins a growing grass-roots level frustration. Church members feel they are not being listened to, and not given a respected platform to express their opinions – many of whom far exceed existing church leaders in capability and qualification. It is no wonder that Jorge Munoz titled his sermon at the AUC Empower Conference in February 2018 ‘It Is A Good Time To Be In Ministry’. Every fortnight when he receives his pay, this is confirmed.

The philosophy that should underpin the salaries of church leaders is stated in the North American Division 2018 Remuneration Book:

“The philosophy of remuneration is predicated upon the fact that a spirit of sacrifice and dedication should mark all denominational employees irrespective of the position they hold or the department or service they represent. The work of the Church, including denominational organizations, is a mission to which lives are dedicated in selfless service.”

The exact remuneration package of Australian church leaders remain a secret; members will never find out. The average church pastor is not even aware of these changes, let alone the church members. Further to the pay rise, administrators receive per diems when travelling (travel allowances that can total an additional $10,000-20,000 p.a.) and frequent flyer points that are stored up for personal use. While other major financial issues in the church remain unresolved, how can members be expected to trust our church leaders? The same church leaders who regularly appeal to members to be more generous with their giving are simultaneously raising their own remuneration packages and bonuses. Rather than embracing the belief that we are all members of one body – equal in Christ – the clear message that this change sends to members and ministers is that the job of a church leader is superior to all others in the church. It is not. The teachings of Jesus’ confirm this beyond any doubt.

So, what does this lead to? It encourages church employees to stay silent, not rock the boat and, above all-else, obey their superiors. Such behaviour will be rewarded with promotion and increased pay. As a result, individual conscience is muffled – the very cornerstone of Protestantism. It also leads to a spirit of aspiration, motivated by self-interest and greater financial remuneration. Why be only a church pastor when you can climb the hierarchical ladder and be rewarded with unbridled power, and determine your own remuneration packages with the assistance of unquestioning committee members.

In addition, the South Pacific Division passed a policy that says if you work at the Division Office in Wahroonga, regardless of where you live outside the Sydney basin, you are entitled to receive a Church-funded Sydney housing allowance. The housing allowance in Sydney is notably larger than anywhere else in Australia because of the high cost of housing. Division leadership passed a policy that states that even though an individual live in Cooranbong or the Central Coast (a much cheaper housing district where most Division workers live), individuals are still entitled to receive the Sydney housing allowance. Conveniently, this was of financial benefit to the leaders who passed the policy.

This policy was never publicly communicated to members – and perhaps for good reason. Those who have become aware of this policy (and aren’t the recipients of the bonus) shake their heads at the self-serving nature of such a policy. It is regarded by many as the kind of behaviour expected from self-serving politicians. This causes many to have a very cynical attitude towards those policy makers who appear solely motivated by their own interests.

Why Are People Losing Confidence in Church Leadership?

There is a spiritual vacuum that is evident everywhere. Members are being ignored and censored. Church leaders continue to grow in power and are unanswerable to tithe payers.

A Call For Transparency

The time has come for church members and ministers to rise up and ask questions of church leadership. This letter calls on the SPD President, SPD General Secretary, SPD Chief Financial Officer, AUC President, AUC General Secretary, AUC Chief Financial Officer and Conference Presidents, Conference General Secretaries and Conference Chief Financial Officers to be transparent and disclose what their new remuneration packages now total – including all bonuses. It is now time to disclose these amounts to members in The Record, including the publishing of the new Division Wage Scale. Members pay tithe which in-turn pays church leaders’ remuneration packages, and it is time for members to be properly communicated to, and for openness and integrity to triumph over concealment.

As the AUC seek to implement the Church Structural Review which seeks to reduce conferences and centralize power in Melbourne, members have valid reason for concern. The series of meetings around Australia are detailed below.