Politicians salaries unlikely to rise in near future, reveals Premier
The salaries of MPs and Senators are unlikely to be increased any time soon, Premier Paula Cox has revealed.But the Finance Minister would not say whether she will recommend to Cabinet that it order a review of the amount paid to parliamentarians, in the wake of calls for Ministers to take a pay cut.Opposition Senate Leader Jeanne Atherden has urged Cabinet Ministers, the majority of whom pick up at least $168,000 a year, to lead by example and accept a salary reduction.And Government MP Dale Butler said Ministers and backbenchers should be paid the same, suggesting $70,000 a year would be a suitable amount.But a Cabinet pay cut could only happen if it was recommended by the Ministers and Members of the Legislature Salaries Review Board, the statutory body responsible for assessing parliamentarians’ pay, and approved by the House of Assembly.The independent board must, in law, carry out a salaries review every two years but it hasn’t published a report since August 2008 and its chairman told The Royal Gazette he did not know when the next one would appear.Clevelyn Crichlow said: “I have no idea because I haven’t been informed or written to or anything.”Asked if he was still board chairman, he said: “I assume I’m not. I can’t recall whether we were appointed for a certain period of time.“I just assumed that whenever these things came up it would be put in the press. I don’t know how it operates. I assumed after two years, I was out.”The other board members, as of August 2008, were John Campbell QC, Anthony Joaquin, Keren Lomas, Cheryl-Ann Mapp, Maxwell Burgess, Robert Steinhoff and Gil Tucker.The Premier’s spokeswoman told this newspaper: “[The] board was appointed and remains.”Asked when the next review would be, she said: “This decision is made at the Cabinet level on the recommendation of the Premier.“There has been no increase since 2009 and, given the economic climate, no increase is anticipated in the near future.”The spokeswoman didn’t answer a further question about whether Ms Cox would recommend a fresh review to consider a salary decrease for Ministers.She said the current salaries paid to Ministers and members of the Legislature were set in 2006 by the board’s first report and took effect in 2006 and 2007.The second report, in August 2008, recommended baseline increases under the Ministers and Members of the Legislature (Salaries and Pensions) Act.“This report was considered in 2009 and, given the state of the economy at that time, the Government chose not to implement the increases that were recommended by the independent salary review board,” she added.The spokeswoman said there had been no baseline increases in salaries since April 1, 2007, apart from cost of living increases in 2008 and 2009. “Compensation for all officers under the Act has not changed since April 1, 2009,” she said.Opposition MP John Barritt said there should have been a further review and report by now.“I expect, however, that there is no appetite for proceeding as the last report was deferred at that time because of prevailing economic circumstances, which have obviously gotten worse, not better,” he said.“Nonetheless, the board does have a statutory duty to meet and review the position and it is, I suppose, always open to them to also recommend cuts rather than increases which is what the Opposition United Bermuda Party proposed in its Budget reply.”Mr Barritt said the board’s remit should be extended so it could consider “total compensation”, i.e. the entire range of benefits enjoyed by parliamentarians, particularly Ministers rather than just salaries.The Shadow Public Administration Reform Minister said that should include a look at expense allowances, pension rights, health and insurance rights and severance pay for loss of office.“These were all items highlighted by the board in their 2008 report,” said Mr Barritt. “There are others too, like 24/7 access to a GP car and, I presume, but do not know, unlimited gasoline.“The board pointed out that the Act needs to be amended to allow them to take the whole package into consideration. I agree, it should be so amended.”l Useful websites: www.gov.bm, www.plp.bm, www.ubp.bm
The benefits enjoyed by Cabinet Ministers on top of their six-figure salaries include use of a car, health insurance, a pension, a parking space at Sessions House and a credit card.
Premier Paula Cox's press secretary told The Royal Gazette she couldn't provide a monetary figure for how much the total package of benefits was worth.
“There is no figure for total compensation,” she said. “As to benefits, all members of the Legislature are entitled to participate in [the] Government employment health insurance scheme, as well as the Ministers and Members of the Legislature pensions fund.
“Members do not receive expense allowances and Ministers are afforded cars.”
She said Ministers were issued credit cards that were governed according to Government's Financial Instructions. “They are subject to the standard audit process of the Government,” she added.
As previously reported, the Premier and Finance Minister is the highest paid Cabinet member, on an annual salary of $224,092.
She has use of GP1, a BMW 750Li, the same make of car used by Governor Sir Richard Gozney, who earns $231,800.
Deputy Premier and Public Works Minister Derrick Burgess picks up $181,514 and is believed to use GP2, a Toyota Camry.
Attorney General Michael Scott earns $193,786 and the other full-time Ministers and MPs, Dame Jennifer Smith, Terry Lister, Zane DeSilva, Neletha Butterfield, Walter Roban, Glenn Blakeney and Michael Weeks, each receive $168,069.
Full-time Ministers and Senators David Burch and Kim Wilson get $142,413 a year.
Part-time Minister Patrice Minors, who is responsible for Business Development and Tourism, picks up $112,046.
All Ministers get a GP car though Government has never provided a definitive list of who uses which vehicle in the official fleet.
Louise Jackson, who earns $56,023 as an Opposition MP, claimed earlier this month that charities missed out in the 2011/12 Budget, while Government Ministers kept their “bloated salaries” and got to drive around in big cars and go on trips.
Her UBP colleague Jeanne Atherden later called for Ministers to lead by example and take a pay cut.
A higher salary, a car and a credit card are thought to be the main additional perks enjoyed by Ministers, as all MPs and Senators get health insurance, a defined benefits pension plan and a parking space in Hamilton.
In December, the average pension benefit for retired MPs and Ministers rose by four percent to $35,857 a year, or $2,988 a month.
Economist Robert Stewart criticised the increase at the time, arguing legislators already got the best pensions of any public servants. “They ask everybody to sacrifice and then help themselves to the biggest slice of the cake,” he claimed.
Ms Cox pledged a review of pensions but told the House of Assembly MPs were not as well paid as some people thought and many relied on their pensions when they retired.
