A picture taken outside the parliament building in Ottawa. (The Canadian Press)

By Nigel Maxwell

Taxes

Taxpayers Federation calls on MP’s to reject pay raise

Mar 15, 2023 | 12:00 PM

Editor’s note: This story was updated Wednesday afternoon to include a statement from the Liberal Government’s Press Secretary.

Canada’s elected members of parliament (MPs) are set to receive a big raise in the coming weeks—but a group lobbying for tax payers is waving the red flag.

Federal director of the Canadian Taxpayers Federation (CTF) Franco Terrazzano said to make matters more frustrating for tax payers, the raise will take effect on the same day the federal carbon tax is set to be increased.

“So their constituents are having a hard time filling the fridge and they’re gonna be filling their pockets with another pay raise,” he said.

Based on CTF estimates, in accordance with contract data posted by the Government of Canada, this year’s annual pay raise will provide an extra $5,100 for a backbench MP, all the way up to an extra $10,200 for Prime Minister Justin Trudeau.

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Before the pay raise, a back bencher currently collects a salary of $189,500, ministers take home $279,900 and the Prime Minister makes $379,000.

“So in what world do they really think they should be taking thousands of dollars more from their constituents,” Terrazzano said.

Terrazzano also noted this year’s pay raise down plays how much members of parliament took home since the onset of COVID. As of April 1, the annual salary for is $15,700 higher, while the PM makes an extra $31,400.

Prince Albert MP Randy Hoback was not available for comment, but his office provided paNOW with a statement.

“Under legislation passed in 2005 to de-politicize parliamentarians’ pay, salaries paid to Members of Parliament and Senators increase automatically on April 1 each year, based on the average increase negotiated by major bargaining units in the private sector.

While former Prime Minister Stephen Harper tabled legislation to freeze MPs pay during the 2008-09 recession, Justin Trudeau has chosen not to do so.”

Every April 1, Saskatchewan’s MLA salaries are also adjusted, tied to the Consumer Price Index (CPI). According to Statistics Canada, the CPI rose 6.8 per cent on an annual average basis in 2022.

However, both Saskatchewan NDP Leader Carla Beck and Premier Scott Moe have indicated plans to tap the brakes and a lower figure is being discussed.

Noting both BC and Nova Scotia have announced similar plans, Terrazzano said federally elected officials need to follow suit.

“There is no reason that our members of parliament should be taking pay raise after pay raise after pay raise while the people paying their salaries continue to struggle,” he said.

In a statement, provided by the Government’s Press Secretary, it’s explained Members of Parliament’s allowances and salaries are increased annually as mandated by the provisions of the Parliament of Canada Act.

“We know that many Canadians are facing real difficulties, that is why our government has acted on helping make life more affordable through efforts including doubling the GST credit, sending cheques to 11 million Canadian households who need it most, providing a $500 top up to Canadians struggling to pay rent, providing dental care to Canadian children 12 and under, and permanently eliminating the federal interest on Canada student and apprentice loans. We remain focused on building a stronger economy for all Canadians. paNOW did attempt to reach out on Tuesday to the Liberal Government for comment, but as of Wednesday’s publishing deadline, had not received a response.”

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nigel.maxwell@pattisonmedia.com

On Twitter: @nigelmaxwell