Home | WebMail | Register or Login

      Calgary | Regions | Local Traffic Report | Advertise on Action News | Contact

New Brunswick

Independent report says N.B.'s politicians deserve a raise

An independent report says New Brunswick's politicians should make more money, but that they should pay income tax on all of it.

An independent report says New Brunswick's politicians shouldmake more money, but that they shouldpay income tax on all of it.

In a report delivered to the standing committee on legislation administration on Thursday,the MLA compensation review commissionsays that New Brunswick can affordto give the politicians a raise and that increase might make public office more attractive forcapable people.

The proposed enriched payment structure would eliminate the MLA's tax-free allowance, which currently makes up a significant portion of their annual salaries.

"The practice should be broughtto an abrupt end," compensation commissioner Patrick Ryan writes in the report. "It is unpopular with the public; obscures the true value of the payment and is out-of-step with most provinces and payments to members of the House of Commons."

Alberta, Quebec and Saskatchewan continue to offer the members of their legislatures a tax-free allowance while the otherprovincial jurisdictions have discontinued the practice.

Currently, New Brunswick's elected representatives earn a base salary of $45,347 and a non-taxable allowance of $22,534.44. Added together and adjusted for taxes, that would be about the same as being paid a salary of $81,758.

The report recommends that the tax-free allowance be eliminated andthe salary of an individual MLA be increased to $85,000.

Under the proposed guidelines, the premier would get a raise of $18,265,to $79,000 in addition to his base pay as an MLA. It would mean a combined salary of $164,000 the seventh-highestsalary among Canada's premiers. Ontario's premier receives the most money,$202,788, while Manitoba's premier is the lowest paidat $124,509.

Under the new formula, cabinet ministers would get a $12,124 boost in wages, for a salary of $137,614. The Opposition leader's salary would be raised $14,810 for an annual pay of $140,300. The Speaker's salary would increase by $22,245 for a total of $137,614.

New Brunswick's politicians are among the lowest paid in the Canadian provinces. Ontario's elected representatives have the largest pay cheques at $113,100 while those in office in Prince Edward Island are the lowest, receiving $62,500 annually.

The recommended increases were calculated using a formula that took into account the relative increase in New Brunswick residents' salaries compared to the national average over the past 20 years.

Despite the recommendations, the report goes on to suggest that current MLAs who don't like the proposed new pay structure be allowed to continue to be paid as they are now under a grandfather clause if the changes are accepted.

Ryan's report also recommended mandatory sanctions be established against MLAs who are absent from their duties without explanation and that thelegislature change the pension plan of its MLAs.

Currently, politicians are required to sit eight sessions in the legislature before they are entitled to a pension. Ryan's report suggests that be changed to give pensions to members who have served six years in office.

Corrections

  • The premier of the Yukon is no longer the lowest-paid government leader in Canada as originally reported. The Yukon premier now receives $127,500, thanks to a recently-approved MLA compensation package.
    Jan 21, 2008 3:26 PM AT