Public sector pay awards have been a bone of contention for Stormont since its return last year with health and education workers taking industrial action. However, under new proposals, MLAs could be set to benefit from a salary increase of around 37.5 per cent.
Salaries for MLAs are currently set by the Independent Financial Review Panel, an independent body set up in 2011 and tasked with setting salaries, allowances, expenses and pensions for MLAs. A new Bill from the Assembly Commission which was introduced on Tuesday is seeking to scrap that panel and replace it with a new Remuneration Board.
Like the Independent Financial Review Panel, this board will be tasked with setting the salaries and pensions of MLAs. However, they will also be asked to take into account the salaries of MPs, TDs and Senators in the Oireachtas, Members of the Scottish Parliament and the Welsh Assembly.
Members of the Welsh Assembly currently take home a salary of £72,057, while MSPs in Scotland take home £72,196 whereas MLAs at Stormont take home an annual salary of £52,500. Current salary rates for MLAs were fixed by the IFRP in 2016.
These proposals could see the new body recommend that MLAs salaries are raised to give them parity with their counterparts in Scotland and Wales.
Speaking ahead of the motion, People Before Profit MLA Gerry Carroll said: "Today’s debate lays further groundwork for an inevitable and substantial salary increase for MLAs under the guise of independence and objectivity.
“If MLA salaries are increased in line with Scotland and Wales, that means a 37 per cent pay increase for politicians. This would be a kick in the teeth of every worker who has stood on picket lines, fighting for pay increases that barely keep pace with inflation. Remuneration bodies for our public sector workers aren’t so generous. In no other job would a 37 per cent pay increase be considered reasonable or affordable. Why should we as MLAs be treated differently than any other worker?
"When it comes to pay and allowances, it’s long past time to have a completely different kind of conversation; one that asks how MLAs can credibly claim to represent their constituents when their salary is £20k more than the average wage?"
Speaking before the introduction of the Bill, a Spokesperson for the Assembly Commission said: “The Assembly passed a resolution in June 2020 that set out that the salaries and pensions of MLAs should continue to be determined independently while giving the Assembly Commission the responsibility to determine MLA allowances going forward.”
The Spokesperson continued: “Following this decision, the Assembly Commission did not think it appropriate to give Assembly time to completing the necessary legislative measures in this area, particularly during the pandemic and following the immediate restoration of Assembly business in 2024.
“However, in introducing this new Bill today, the Assembly Commission has taken the first step towards ensuring that the statute book reflects the position previously agreed by the Assembly. It will provide for the independent oversight in relation to Members’ salaries and pensions to continue.”
The Spokesperson concluded: “The Bill will create a new independent Remuneration Board, and sets out the detail underpinning it, including that it will have independent membership, to take independent decisions on the appropriate level for the salaries and pensions of Members.
“The Assembly Commission looks forward to engaging with Members on the detail of the Bill as it makes its way through the legislative scrutiny process.”
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