NDP vows to cut MLA pensions, salaries

Published Thursday August 5th, 2010  By Shawn Berry, Daily Gleaner
 
New Brunswick's NDP is vowing to slash the salaries of MLAs and chop their "super-sized" pensions in half if it gets any power in the upcoming provincial election.

NDP Leader Roger Duguay said Liberal and Progressive Conservative legislature members voted unanimously to increase their pensions while the public's attention was diverted in 2008 by flooding along the St. John River.

Duguay said his party wants to cut MLA salaries 20 per cent and slash pensions by 50 per cent.

He said the NDP will make its "20-50 bill" a requirement of supporting a minority government.

"The 20-50 bill is a way to show we are serious as a party about putting our money where our mouth is," Duguay said.

"MLAs will still be paid a very good base salary, $68,000 per year."

In 2008, MLAs voted unanimously to change their pay and benefits packages that resulted in an increase to the maximum payment under the allowance to $42,500, or six months pay. The changes made the allowance available to everyone, even those members who receive pensions.

MLAs voted to increase their salaries from $45,347 to $85,000, while ending two allowances used to supplement their incomes valued at about $35,000. The salary increase was based on an independent review conducted by a judge.

That resulted in a hefty increase in pension payments. Pensions rose to $30,000 a year after eight years in the house, up from $16,500 and to $76,000 annually after 20 years, up from $41,000.

In April, the legislative administration committee decided to appoint an independent, three-member panel to review the pension issue.

Duguay said his proposed changes would mean MLAs would still earn $11,000 more than the gross median family income in New Brunswick . "This is a fair salary."

Duguay said the party is campaigning on the need to balance the books to save the health and education systems.

The move would take $1 million out of the pockets of legislators so it can be reinvested into front-line services, Duguay said.

He said he isn't concerned that the salary proposed by the NDP would be too little to attract talented candidates.

"I know it's something we hear very often hear from private sector, but I think ... we have to never forget we live in a province where 10 per cent of families live on less than $12,000 a year."

Being an MLA is about serving people, he said, not trying to make money.

NDP campaign director Dominic Cardy said it's a double standard when government employees are targeted for pay freezes while the politicians have been putting money in their own pockets.

"These aren't bad people. They've just lost touch with who put them in power," he said. "I'm very confident that after the election they're going to come out and say 'now everyone has to tighten their belts - except us.'"

Alward said MLA pensions will be reviewed if his party is elected. He's also vowed to change the system where members vote on their own pay packages.

Premier Shawn Graham said the issue around compensation for individuals in public office is complex.

"That's why we asked an independent judge to do a review of the remuneration for salaries across the country to make sure that we were in line with other jurisdictions and not above the compensation of other jurisdictions."

He said independence and autonomy were important and that's why legislators moved ahead with the recommendations.