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Halifax council salaries could freeze with new compensation report

Halifax councillors could see salaries frozen and pensions changed after a new report that says they make too much money.

Councillors vote Tuesday on a report that says they're being paid too much

Halifax Regional Council will vote Tuesday on a report to freeze their salaries. (Robert Short/CBC)

Halifax councillors could see salaries frozen and pensions changed after a new report says they make too much money.

The report by regional council's compensation committee proposes changing the formula that calculates councillors'salaries.

Steve Craig, councillor for District 15 Lower Sackville, requested the report in 2014 from a committee made up of members of the public.

"I'm OK with a frozen salary," Craig said.

"Maybe it's one of those cases where people talk about leading by example until it impacts them themselves."

Salaries based on average Halifax worker

The new salaries, should council vote Tuesday to approve the report, would be based on the average full-time worker's salary in Halifax, according to Statistics Canada data in2010 and the consumer price index, plus 25 per cent.

The deputy mayor would make 10per cent more than a councillor. Themayor would make 2.2 times a councillor's salary.The report notes mayors across Canada make between 1.5 and 3.5 times what a councillor makes.

These changes wouldactually decreasecouncillors' salaries, so theywould be frozenuntil the averagesalary and the consumer price index increase beyond that, the report said.

Councillors:

  • Calculation Average full-time salary in Halifax plus 25 percent
  • Recommended salary $73,967
  • Frozen salary $82,653

Deputy mayor:

  • Calculation Councillor salary plus 10 per cent
  • Recommended salary $81,400
  • Frozen salary $90,918

Mayor:

  • CalculationCouncillorsalary times 2.2
  • Recommended salary $162,800
  • Frozen salary $176,034

Duties 'exceed' normal jobs

Councillors have duties that "exceed the expectations of an 'average full-time worker'," the report said, and so the 25 per cent bump from the average is "reasonable."

Councillors, for example, must be on call all hours of the day, absorb a lot of information quickly, be media savvy and face a high level of public accountability and scrutiny, the report said. Councillors consulted for the report also said they feel added pressure since the number of councillors was cut from 23 to 16 inthe last election.

'Job to serve'

Matt Whitman, deputy mayor andcouncillorforHammondsPlains-St.Margarets, said he voted against ordering the report, and he'll vote against acceptingit.

"I came to this job to serve. I work double the hours now for half the money. I'm not interested in taking any more risks at the expense of my family," he said.

"It would be crazy to think that working these hours for less pay would be a good idea."

Councillor and Deputy Mayor Matt Whitman says a change to the salary formula is unnecessary. (CBC)

'I don't think it's a problem'

Despite that, Whitman said he's running for another term, butmoney is on his mind. He said he has a mortgage and two teens looking to attend university in the coming years. His wife also works full time, he said.

He said he works six to seven days a week and at least 12 hours, often answering dozens of constituents questions in that time. For him, the salary report was never needed and he said he feels uncomfortable voting on his own wages.

"I don't think it needs to be messed with," Whitman said.

"I don't think it's a problem. I've never had a resident complain about how much money I make or if I'm accessible."

Report late

Craig said he'll ask Tuesday how exactly the 25 per centnumber was reached. The report said it used "knowledge, experience and best judgement of the committee members," who include:

  • Gerry Walsh, a human resources consultant who publishes a regional salary guide
  • Colin Dodds, a finance professor andformer president of Saint Mary's University
  • Cheryl Hodder, McInnes Cooper lawyer and partner
  • Amy MacIsaac, accountant and office operations manager at Collins Barrow
  • Larry Munroe, Halifax's auditor general

Several unnamed experts were also consulted, along with the 15 constituents who attendedmultiple public forums. The report was supposed to be finished in August 2015, but the committee didn't start meeting until July 2015. They finished last month.

Committeemember Gerry Walsh said by email Saturday the group would answer questions after council meetsTuesday.

Severance and pension changes

Electedcouncillorsaren't hired for a long-term job, the report noted, but do a lot of hard work, nonetheless.

The committee recommendstransition pay or severanceof up to three months, to ease councillorsthrough to finding a new job if they decide not toreoffer or fail to get re-elected.

Thecommittee also suggestscouncillorsbe removed from thedefined benefit pension plan other municipal staff have, and instead be given 7.5 per cent of their annual salary to invest in their ownRRSPs.

Craig said that's moretypical of the private sector and of professions where people move around quickly.

Lower Sackville Councillor Steve Craig says he will vote for the committee's recommendations. (CBC)

'Touchy subject'

Overall, Craig said the answers aren'teasy to find.

"Some people will say,'Hey, you're getting paid way too much'.Other people will say, 'You're not paid enough' and they're all right," hesaid.

"It's a touchy subject for a lot of people, I understand that."

Read the full report on councillor compensation

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