30% salary increase for MPs mooted
MPs are to vote on proposals to give themselves a 30 percent — or $15,000 a year — pay rise.
Elected members of the House of Assembly currently earn $50,000 annually but the Ministers and Members of the Legislature Salaries Review Board is recommending that be increased to $65,000 in April.
Such a rise would mean MPs' salaries had leapt by almost 65 percent since 2006, when they earned just under $40,000.
A report from the board tabled in the House on Friday recommends that Senators get a "substantial" pay increase from $27,102 to $40,000 a year at the same time, but that the Premier and Ministers' salaries remain the same. All the Cabinet currently earn $100,000 as full-time Ministers on top of their pay for being an MP or Senator, apart from Deputy Premier and Finance Minister Paula Cox, who gets a part-time Minister's salary of $50,000.
If the recommendations are approved, Ministers who are MPs will pick up $165,000 a year from next April, except for Ms Cox, who will receive $135,000, and Premier Ewart Brown, who will be paid $215,000 (see side panel for a salary breakdown).
The board says that during focus group meetings conducted as part of its review of politicians' pay, it "encountered strenuous arguments" that the pay gap between backbenchers and Cabinet Ministers was too great.
"Having discussed the issue at length, the board is of the opinion that the additional salaries of Cabinet Ministers (including the Premier) should remain unchanged," says the report. "However, Ministers will benefit from the increases being recommended for backbenchers or, as the case may be, Senators.
"This benefit ensures that the increase in the aggregate salary of a Cabinet Minister will be at least commensurate with the increase in the cost of living."
The board recommends a "significant" rise in pay for the Opposition Leader, Speaker of the House and Deputy Speaker, as well as increases for the Senate President and Vice President, Junior Ministers and the Government and Opposition Whips.
The report — signed by a majority of the board — suggests that all the pay rises be given in two stages, so, for example, MPs would get $57,500 a year effective from April 1 this year and $65,000 from April 1, 2009.
The report reveals that the committee, which was appointed by then Premier Alex Scott in 2006, has concerns that the law which governs politicians' salaries does not define what is meant by a full-time or part-time Minister.
"This continues to present the board with difficulty and is a source of some concern," says the report. "The act should be amended to remove any reference to 'full-time' and 'part-time' and Ministers of Cabinet should be treated as a single category."
The board says it has taken various factors into consideration in making the recommendations, including the current rate of inflation, recent wage settlements in the public sector and the annual salary of more than $170,000 of permanent secretaries.
The report makes no recommendation on the salary of the Attorney General, a role it says is "by its nature very different from that of any other officer of the legislature".
Committee member Maxwell Burgess, a former Opposition MP, has tabled his own minority report on the salaries, recommending that MPs get $75,000 a year and that Cabinet Ministers pay be reduced to $90,000 per annum. He could not be contacted for comment yesterday.
Board chairman Clevelyn Crichlow told The Royal Gazette it was the first time he was aware of a minority report being submitted.
He said MPs would consider both reports and could, in theory, choose to vote on Mr. Burgess' recommendations. But, he added, "it's highly unlikely that they would do that."
Ms Cox said last night that it was too soon for her to comment on the reports but that "this matter will be fully aired in the House in due course".
Shadow Finance Minister Bob Richards said it would be inappropriate to comment before his party caucus had discussed the issue.
Who would earn what?
• Premier Ewart Brown would continue to receive $150,000 a year for the top job plus $65,000 for being an MP, giving him an annual salary of $215,000.
• Deputy Premier and Finance Minister Paula Cox is the only member of the Cabinet deemed to be part-time. Under the new proposals, she would get $70,000 for her ministerial brief, on top of $65,000 for being an MP, giving her a yearly total of $135,000.
• All other Cabinet Ministers would continue to get $100,000 a year for their full-time portfolios. Those Ministers who are MPs — Derrick Burgess, Glenn Blakeney, Nelson Bascome, Dale Butler, Elvin James and Terry Lister — would therefore earn an annual income of $165,000.
• Labour, Home Affairs and Housing Minister David Burch, the PLP Senate Leader, would receive $140,000 a year — $100,000 for his ministerial brief and $40,000 for being a Senator.
• Kim Swan's pay for being Opposition Leader would rise to $35,000 a year plus he would get $65,000 for being an MP, giving him an annual salary of $100,000.
• The Speaker of the House Stanley Lowe would pick up the same — $35,000 for being Speaker and $65,000 for being an MP, totalling $100,000.
• Deputy Jennifer Smith's income would rise to $82,500, comprised of $65,000 for being an MP and $17,500 for being Deputy Speaker.
• Senate President Carol Anne Bassett would pick up $20,000 for the presidential position plus $40,000 for being a Senator, netting her $60,000 a year.
• Junior Ministers such as Walton Brown and Thaao Dill would get $15,000 a year on top of their $40,000 pay for being a Senator, gaining them $55,000 a year.
• Senate Vice President Walwyn Hughes would receive $5,000 a year on top of his $40,000 Senator's salary, giving him $45,000 a year in total.
• Government Whip Lovitta Foggo and Opposition Whip Cole Simons would both get $7,500 a year for those positions, on top of their $65,000 a year MP's salary, giving them $72,500 a year.
• MPs and Senators without any other responsibilities would pick up $65,000 and $40,000 a year respectively.