December 11th, 2024

Canadian Taxpayers Federation calls for Alberta elected officials to take pay cut

By GILLIAN SLADE on May 2, 2020.

gslade@medicinehatnews.com@MHNGillianSlade

The Canadian Taxpayers Federation is calling on government elected officials to take a pay reduction to bring them in line with other provinces and in recognition of all the Albertans who have recently lost their jobs.

“At $121,000 annually, Alberta’s rank-and-file MLAs make significantly more than their counterparts in other provinces.,” said Franco Terrazzano, CTF Alberta director.

If Alberta’s MLAs had their pay reduced to the Ontario-West average (excluding Alberta) they would still be bringing home $105,120 and Premier Jason Kenney would get $170,364.

“That’s still a nice six-figure pay cheque during these tough times,” said Terrazzano. “They need to take a pay cut like the countless Albertans who’ve been struggling through this crisis.”

Bringing pay in line with other provinces is of particular significance as Kenney and Tyler Shandro, minister of health, have repeatedly said the reduction to remuneration for doctors was necessary to bring them in line with other provinces.

Terrazzano says Travis Toews, minister of finance, has also stressed the importance of bringing government compensation in line with other provinces. He says it would be hypocritical to apply this principle to everyone except politicians.

It should be noted and applauded that last summer all MLAs took a five per cent pay cut and Kenney reduced his pay by 10 per cent, said Terrazzano. That initiative was just before the UCP government hit the brakes on spending and a lot has happened since then.

A spokesperson for the premier said, in an emailed statement, that in addition to the pay cuts last year there is a “pay freeze currently in effect for all management and non-union GoA employees. MLAs also voted just weeks ago to decline the indexed increase that was scheduled.”

Albertans continue to be hit by the health pandemic, economic shutdown and collapsing oil price, but the province’s politicians have yet to be touched by loss of jobs or a reduction in wages, said Terazzano.

“More than 100,000 Albertans joined the ranks of the unemployed last month and small business owners are worried about whether they will be able to reopen their doors once the dust settles,” he said.

New Zealand’s prime minister, government ministers and public services chief executives took a 20 per cent pay cut recently, effective for six months. Other countries have made similar adjustments.

Terrazzano says Alberta’s deputy ministers, assistant deputy ministers and other senior executives should also have their salaries reduced.

“We do need to see a course correction,” said Terrazzano, noting it simply takes “political backbone.”

The UCP government has made numerous announcements of funding to help individuals, charities and businesses affected by the pandemic.

“To date, the Government of Alberta has committed $13 billion in direct and indirect supports for Albertans impacted by the COVID-19 pandemic,” said the spokesperson for Kenney.

That money is borrowed and will ultimately have to be paid back by taxpayers, says Terrazzano. In the meantime there will be interest on that money and, he claims, will ultimately mean higher taxes.

“The premier has said we could be facing a deficit that could be close to $20 billion,” said Terrazzano.

Elected officials will have no choice but to make tough decisions and cut spending because nobody can afford higher taxes, he said.

“But for our politicians to successfully implement those tough decisions they will first need to show leadership to their bureaucracy and leadership to their citizens and show that they’re also willing to take a financial hit.”

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