Labour Leader Chris Hipkins Urges MPs to Steer Clear of Pay Review Decisions”

Labour Leader Chris Hipkins Advocates for Politicians to Stay Clear of Pay Review Decisions

In light of the recent decision by the independent Remuneration Authority to increase MPs’ salaries, Labour leader Chris Hipkins has emphasized the importance of politicians refraining from interfering with such matters.

The Remuneration Authority’s decision entails a 2.8% retroactive rise in MPs’ salaries from October last year, followed by additional increments over the coming years. By the end of Prime Minister Christopher Luxon’s term, his salary is expected to reach $520,500 annually.

Cabinet ministers, currently earning $296,007, are also due for salary increases, with the leader of the opposition set to receive a raise to $298,000 this year.

Reflecting on past interventions in pay review processes, Hipkins noted that both the John Key and Jacinda Ardern governments had erred in attempting to address political concerns by interfering with the Remuneration Authority’s decisions. He emphasized the need to maintain independence in such matters, recognizing his own government’s involvement in past interventions.

Hipkins stressed the importance of setting clear parameters for the Remuneration Authority and allowing them to operate independently. He highlighted the necessity of refraining from complaints, whether MPs perceive themselves as receiving inadequate compensation or find pay increases inconvenient.

In advocating for political detachment from pay review decisions, Hipkins underscored the long-term implications of such interventions and emphasized the importance of respecting the authority’s independence in setting salaries for elected officials.

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