Finance Minister proposes Salary Review Commission

Dec 20, 2016 News

Given the scathing criticisms that it has faced regarding the salary bumps it gave to its ministers, and even the proposed pension arrangement for former Prime Minister, Hamilton Green, Finance Minister Winston Jordan said that perhaps there is a need for the Government to pursue the implementation of an impartial Salaries Review Commission.
He made this comment during his end of year press conference yesterday at the Boardroom of the Ministry of Finance.
There, the economist was challenged to speak on the sustainability of the proposed pension arrangement for Green and even the salary increases for the Ministers.
To this he responded, “I think it is so unfair to carry that line of thinking and propaganda. Green served as Prime Minister for five and a half years. And under the original law, it said that Presidents and Prime Ministers would have a pension that is seven-eighths of their annual salary.”
Jordan explained that former President Bharrat Jagdeo in 2004 created a situation where only he was able to benefit from the new provision in the pension law. He delinked the pension of the Prime Minister from the statutes.
“So whenever the salary of the President is moving up, so is Jagdeo’s pension. This thing is not about Hamilton Green but it is whether or not he is entitled to ^!s of the Prime Minister’s salary.”
Jordan explained that the reason for Government tabling in the National Assembly, the Hamilton Green Pension Bill, with the said name is because, “When he goes, this Bill will become dead because every prime minister from Moses Nagamootoo going forward will get seven-eighths of his salary.”
The Finance Minister also argued that Green served as Prime Minister for five plus years, but Sam Hinds, who only served as President for nine months, enjoys a pension that is seven-eighths of the current President’s salary. He said that no one argued or made a fuss in this regard.
With regard to the sustainability of the salary increases Government gave to its senior ministerial officers, Jordan said that it was an increase that was paid in June, 2015 to eight senior ministers and three Vice Presidents. He said that the entire increase just amounted to just $65m annually. The Finance Minister said that he does not foresee another increase for ministers in a hurry.
The pay hike to the public servants accounted for an additional billion dollars annually.
Furthermore, the Finance Minister said that there are a number of categories for people who earn over $1M and they are complaining that it is not enough.
“But what I think we need is a Salaries Review Commision that can deal with people in the legislature and judiciary because salary increases will always be a contentious issue. What we can have is a permanent body of that sort rather than it being part of the job of the Executive. Hopefully some of the heat will be taken off of us,” expressed the economist.

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