Auditor General Sonia Webster said that the decision by Members of the House of Assembly to significantly increase their salaries in December 2023 will have major implications for retirement benefits and long-term public finances.
According to Webster’s report on the financing of the 2024 public service salary increases, the raises, which took effect Jan. 1, 2024, were approved during an informal meeting of legislators on Dec. 19, 2023, two days after the passage of the national budget. Salaries were adjusted to the maximum levels of the ranges recommended by PricewaterhouseCoopers, resulting in a collective increase from $681,000 to $1.49 million, a 119 percent jump.
The report noted that the higher salaries will directly affect pensions and retirement benefits for lawmakers, which had already been increased in 2021. Webster cautioned that this raises long-term questions about the sustainability of public finances.
The largest individual increase went to the Premier, whose salary rose from $72,000 to $176,243, a 145 percent jump. Other positions also saw sharp increases: the Deputy Premier’s salary moved from $65,000 to $152,015, ministers from $60,000 to $127,788, the Speaker, Opposition Leader and Junior Ministers from $45,000 to $103,560, the Deputy Speaker from $40,000 to $79,870, and regular members from $36,000 to $71,230.
Webster stressed that while funding for the salary adjustments was included in the 2024 budget, the broader impact on pensions and retirement benefits was not publicly disclosed or discussed prior to implementation.
