Department of National Defence

Department of National Defence

December 15, 2006 15:24 ET

Canada's New Government Announces New Allowance for Canadian Forces Members

OTTAWA, ONTARIO--(CCNMatthews - Dec. 15, 2006) - The Honourable Gordon O'Connor, Minister of National Defence, and General Rick Hillier, the Chief of Defence Staff, are pleased to announce a new universal allowance for Canadian Forces (CF) members who are wounded as a result of hostile action or become injured or ill as a result of the conditions in theatres of operation.

The Allowance for Loss of Operational Allowance (ALOA) will compensate members who are medically repatriated from operations after becoming wounded or very seriously injured or ill as a result of the conditions in theatres of operation. In such situations, the CF member will receive this new allowance until the last date of their planned deployment. For example, if a member is initially deployed for a six-month tour of duty and is wounded after one month, this member would receive the ALOA for the five remaining months.

The new allowance structure will:

- Compensate members for the loss of allowances upon repatriation from an operational theatre after becoming wounded, very seriously injured or ill;

- Mitigate the burden faced by members and their families when other operational allowances cease; and

- Ensure that the loss of operational allowance(s) is recognized in a satisfactory manner.

"Canada's New Government is pleased to announce that the new operational allowance structure will better meet the needs of all Canadian Forces members and their families," said Minister O'Connor. "The new structure means that the brave men and women serving in a theatre of operations will receive financial compensation if their involvement ceases before the end of their rotation period."

All CF members who are deployed on foreign military operations are paid what are called operational allowances. For example, a CF member deployed for a first tour in Kandahar, Afghanistan would receive more than $1900 per month, tax-free, above their regular pay as an operational allowance. In addition, their regular pay is also income-tax exempt up to $6647 per month. These benefits apply equally to all CF members on the mission, regardless of rank or position.

"The new allowance will enable us to take better care of our soldiers who get sick or injured and must come back to Canada before the end of their tour," explained Hillier. "These valued members of our family have put themselves at risk on behalf of Canadians, and the new allowance stands as testament that we will take care of them upon their return," he added.

Contact Information