All state MPs and senior executives within the NSW authorities can have their pay frozen for 2 years, in a transfer tipped to save lots of taxpayers $260m over 4 years.
The pay freeze, which was authorised on Monday, will start on July 1, 2023, with the additional funds to be invested into important companies like faculties and hospitals as a substitute.
According to present renumeration charges, MPs obtain a base wage of $172,576.
Politicians with further titles like ministerial portfolios, or parliamentary positions additionally include an added wage of workplace. For instance, senior ministers get an additional $115,626, whereas the speaker within the Upper House (Lake Macquarie MP, Greg Piper) instructions an additional $98,368.
Senior authorities bureaucrats in roles like departmental secretaries, company chief govt officers, govt workplace holders, commissioners and judicial officers will even have their wages frozen. This comes after the previous authorities was criticised for growing senior govt authorities bureaucrats by 34 per cent, with some prime earners incomes greater than $600,000.
This was regardless of the Coalition enacting a pay freeze on public sector wages in the beginning of the pandemic, earlier than setting up a short-lived 1.5 per cent wages cap in November 2020.
NSW Labor introduced the pledge within the lead as much as the election, which additionally included a purpose to cut back senior public servant positions by 15 per cent by pure attrition, i.e. workers leaving roles or retiring. The mixed complete of the wage freeze and employee cuts had been anticipated to save lots of $500m.
NSW Premier Chris Minns mentioned he the pay freeze would assist the federal government additional put money into important companies and frontline workers.
“We have inherited a challenging budget, but budgets are about priorities,” he mentioned.
“Our priority is rebuilding our essential services and investing in frontline workers.”
Special Minister of State, John Graham mentioned it was a “tough decision,” nevertheless NSW senior executives nonetheless had a number of the highest salaries throughout the nation.
“What we’re doing is capping the top end of the service to reinvest in frontline workers. This senior executive and politician wage cap will help us build capacity in the public sector and stop essential workers leaving the state,” he mentioned.
“The NSW Government offers some of the best pay for senior executives across the public sector nationally.
“Even with the wage freeze, NSW will continue to attract the best public service talent.”
Source: www.perthnow.com.au
