Authority to account for economic conditions

The Remuneration Authority must now take into account adverse economic conditions when setting MPs salaries, says Minister of Labour Kate Wilkinson.


The Remuneration Authority Amendment Bill completed its passage through Parliament tonight.


"This year MPs from all parties appealed for no increase in their pay and this month the Authority sensibly decided to uphold that plea.


"But it is important the Authority maintains its independence when making its determinations and this Bill ensures it can use its own discretion in difficult economic times.


"The public is right not to expect that pay rises are automatic when most workers are struggling and this Bill addresses those concerns."


The changes will take effect next year and cover all professions the Authority is responsible for. This includes MPs, members of the Judiciary, specified Statutory Officers, and Chairpersons and Members of Local Authorities and Community Boards.