Friday, October 17, 2014

NZ Ministers' Pays Compared to Fiji as Unilaterally Determined by Bainimarama via Decree!

In NZ, outside of the PM and Deputy PM, all Ministers inside the Cabinet, Speaker and Leader of the Opposition are paid the same salary unlike Fiji which would be interesting to find out the basis for the hefty pay increases where:

  • Bainimarama gets a 217% increase to  $328,750 since July this year and;
  •  Khaiyum, 197% to $235,000;
  •  and ministers 153%!

Compare this to the Fiji National Minimum Wage increase of 16% planned for July 2015 to $2.32/hour!!

The Speaker being paid more than Cabinet Ministers and Leader of the Opposition paid less than Ministers.

PM Qarase was last paid a salary of $106, 967 in 2006.

Have a look below at the differentials among the MPs!

Following confirmation of the size of the New Zealand Executive, and composition of Parliament, here are the salaries different MPs will be paid as set by the independent Remuneration Authority:


Worth noting that David Seymour as a Parliamentary Under-Secretary is paid only slightly more than the Green Party Whip.

Also note that while the Green Party Leadership is shared, they get just one leader’s salary. I suspect what they do is split the additional $34,370 between them so they each get $164,985.

Select Committee Chairs and Deputies have yet to be determined. There are 14 main select committees, but it is possible there will be less than 14 chairs and deputy chairs as some MPs may be a chair of one and a deputy of another. I’ll update once committees are known, if it changes.

The total salary bill for the 121 Ministers and MPs will be $21,942,420. They each are eligible for a 20% (of base MP pay) superannuation subsidy which is $29,560 each, so if all 121 take that up, that is an additional $3,576,760 bringing total remuneration to $25,519,180.

The “median” MP will get $152,400 salary and $29,560 superannuation subsidy, which is $181,960. The average (mean) salary per MP is $181,342 plus $29,560 which is $210,902.

For a fair number of MPs, they take a significant pay cut entering Parliament. For others, it is the most money they have ever earned, or will earn. Overall the levels are about right, but as always they should set the pay levels to be constant for an entire term of Parliament.



The Fijian Government’s 20-member ministerial line-up will be paid a total of about $3.4 million (US$1.74 million) in salaries and allowances.
The salaries, inclusive of all allowances, were set in the Parliamentary Remuneration Decree 2014 on Friday 3 October.
Also set by the decree were the remuneration for Speaker of the House, Leader of the Opposition and members of Parliament.
According to the decree, the President will receive a non-taxable salary of $130,000 (US$66,660), while the Prime Minister will receive a salary of $328,750 (US$168,580).
The Minister for Finance portfolio carries a salary of $235,000 (US$120,510) while the salaries for Ministers for Health (Jone Usamate), Minister for Education (Dr Mahendra Reddy) and the Minister for Infrastructure and Transport (Pio Tikoduadua) will receive $200,000 (US$102,560) each.
The decree also sets a salary of $185,000 (US$94,870) each for the other 10 ministers with the five assistant ministers slated to receive $90,000 (US$46,150) each.
Other salaries include $150,000 (US$76,900) for Speaker of the House, $120,000 (US$61,530) for Leader of the Opposition and $50,000 (US$25,640) each for members of Parliament.
However, Parliament must also take into account prevailing economic conditions based on evidence from an authoritative source and may set a lower remuneration level. The decree allows Parliament to determine by resolution the remuneration paid to the President, Prime Minister, Cabinet ministers, Leader of Opposition, Speaker of the House and members of Parliament. The amounts set by the decree fix remuneration until any parliamentary resolution.
The decree also states that when determining salaries Parliament must have regard to:
  •  The need to achieve and maintain fair relativity with the levels of remuneration received by persons in the private sector;
  • That the salaries must be competitive so that persons of the right calibre are not deterred from stepping forward to lead the country;
  • The salaries should reflect the ethos of political service which entails making sacrifices;
  • The salaries must be transparent with no hidden components or perks; and
The need to be fair to the taxpayer and to persons whose salary is being prescribed.
The decree further states that setting allowances and benefits will be determined by recognising the need for public understanding the core of the work of persons or members of Parliament and the services required to enable them to carry out their roles and functions.
- Source:

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