Report recommends bumper pay rise for MPs
Members of Parliament could be in line for an 18.8 per cent pay rise, if a review board’s recommendations are approved.
There would also be an extra $7,000 a year as “an additional incentive to motivate those members of the community that may be interested in serving as an MP” and a reversal of a voluntary 10 per cent cut to ministerial salaries made in 2011.
It would mean an MP’s salary would increase from $56,023 to $73,555, the package for the Premier would rise from $151,262 to $253,254 and full-time ministers would see their total pay go from $100,841 to $174,396.
The Salaries Review Board report, which was tabled in the House of Assembly on Friday, recognised that the public was “severely concerned with the manner in which the public funds are spent”.
It also acknowledged that the community “would not likely support any increase in salary packages” for MPs and government ministers.
However, it justified the rise and said it was necessary to try to attract more people to becoming elected representatives and that the role of MPs was extremely demanding.
• MPs and senators be given an 18.8 per cent increase owing to the changes in the cost of living up to 2024
• MPs be granted an additional $7,000 per year as an extra incentive to motivate those who may be interested in serving and to encourage existing memners to continue
• MPs’ basic salary to increase from $56,023 to $73,555
• Senators’ basic salary to increase from $30,367 to $36,076
The board also recommended that a 2011 voluntary cut of 10 per cent to ministers’ salaries be reversed and restored by Parliament as a means of improving the attractiveness of the job.
“This will mitigate, in part, the challenge of motivating residents to step up into this realm of public service,” its report said.
The board recommended that the revised salary levels be effective from April 1, 2025
The last time the review board met was in 2019, when it recommended no pay rise for senators and MPs, many of whom, according to the Register of Interests, have other jobs, directorships or consultant roles.
In its latest report, it noted that in 2011 MPs and senators “elected to freeze their salaries due to the hardship inflicted on many Bermudian households as a direct result of the downturn in Bermuda’s economy”.
At the time, ministers also agreed a 10 per cent cut in their annual salaries.
The report, dated August 2024, said the economy had improved and that since 2015 “the inflation rate has had a cumulative movement of 18.8 per cent”.
It added: “The board has a responsibility to assess and consider the sentiment of the Bermuda community on the matter of MP and minister salaries as it has proven to be a emotive and polarising matter.
“Although no scientific qualitative survey was completed during this review, the board was unanimous that the wider community of Bermuda would not likely support any increase in salary packages for Members of Parliament and ministers of Government.”
However, the board concluded that an 18.8 per cent increase was justified.
It said: “The dedication by Members of Parliament extends beyond the walls of Parliament; they actively participate in community events, listen to the concerns of citizens and advocate for necessary changes.
“Despite the demanding nature of their roles, MPs work long hours, often sacrificing personal time to address urgent issues and provide support to their constituents.
“Since their last salary increase in 2009, the cost of living and the scope of their responsibilities have significantly expanded.
“Recognising their critical contributions and the longstanding gap in their remuneration, it is both fair and necessary to adjust their salaries to reflect their hard work, ensuring they are adequately compensated for their invaluable service to Bermuda.
“The cost of living over the last decade and more has negatively impacted most residents including our ministers and members of the legislature.”
One of the biggest beneficiaries of the proposed salary increase would be the Speaker of the House, a role held at this time by Dennis Lister.
The board’s report said: “The role of the Speaker of the House of Assembly should be considered just as significant as that of a minister of the Cabinet.
“The board believes that the duties and responsibilities of the Speaker are undervalued and should be viewed as adding a more pivotal role to the House of Assembly and our democracy.”
It is proposed that the total salary should be $174,396, made up of a ministerial salary of $100,841 plus the new MP salary of $73,555.
The salary for a premier would also rise significantly under the proposals.
The report said: “Serving as the Premier is the most senior post as a public servant.
“The Premier is responsible for the running of the country including the economy, public safety and food and medical supplies, etc. It is a most significant assignment.
“The Premier has all of the roles and responsibilities of MPs and ministers.
“In addition, the role has added responsibilities of overall leadership of the Cabinet and the role of head of state for international responsibilities and obligations.”
It is recommended that a premier be paid a total package of $253,254.
The board said it accepted that the “prevailing salary levels available to an MP is likely to remain an underwhelming factor in the decision to participate in public political life or not”.
Its report added: “The tradition of having private sector business leaders actively engaged in the political landscape may be difficult to replicate going forward.
“The board believes the salary is a vehicle to improve attraction and appeal to the job and that an additional financial incentive [should] be added to the current salary package for Members of Parliament.”
The report stated: “Politicians are probably the easiest target for public scrutiny and seldom are the rewards they earn aligned with the effort required to serve well.
“The public sentiment about value for money with government expenditure, the need for investment in public assets and the difficulty in coping with a high cost of living are among the determining factors that the board considered alongside the question of any potential increase in the salary levels.
“It is considered never a good time to consider the question of increasing the salaries of politicians under the circumstances that dominate the landscape in Bermuda.
“The board believes that once the legislature is comfortable and agrees on the best way forward, it should be communicated to the public as soon as possible.”
The report has been referred by the Speaker to the Standing Orders Committee, which is due to meet soon.
It will send a recommendation to Cabinet, which will meet to decide on whether to approve the pay rise, or not.
The Salaries Review Board was chaired by Maxwell Burgess, a former United Bermuda Party MP.
Its other members were Carl Neblett, a One Bermuda Alliance candidate, Cole Simons, a former MP and OBA leader, Edward Ball, a former Bermuda Public Services Union general secretary, as well as Jocene Wade, Steven Holdipp and Donnie Francis.
• For the full report and the 2019 report, see Related Media
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