Next MP pay rise likely to be too high

  • 07/08/2015
(File)
(File)

The Greens are complaining that the next pay rise for MPs will be too high - even though it's still to be decided and won't be announced for a couple of months.

Under new rules it has to be based on public sector pay increases, and in May a 1.5 percent increase was granted backdated to July last year.

Green Party co-leader Metiria Turei says the latest Quarterly Employment Survey indicates MPs will get a 2.6 percent increase this year.

The new rules were passed by parliament early this year following public outrage over a 5.5 percent increase awarded by the Remuneration Authority.

"While the Remuneration Authority has not yet formalised the next pay increase, Prime Minister John Key is likely to receive $11,381 more - almost $220 more a week - and backbench MPs are likely to receive a  $3925 pay rise, or $75 a week," Mrs Turei said today.

"It's disgraceful that the public didn't get a say on how MPs' pay is set - after all, they're supposed to be working for New Zealanders."

When the new rules were set the Greens objected, saying it would be better to link the pay rises to the median income.

That would mean if the median income went up by $200, MPs' pay would go up by $200.

Ms Turei has released data showing the average pay rise between 2007/08 and 2014/15 was 2.7 percent.

"The government's attempt to set new rules for more modest pay rises for MPs has failed because the next pay rise will be in line with the average for the previous six years under the old rules," she said.

What they're earning now:

NZN