The indemnities, expenses and pensions payable to the 55 elected Members of the Legislative Assembly are currently under review by the MLA Compensation Review Commission.
The commission was mandated on March 23, 2007 to undertake this review by the Legislative Administration Committee. The Commission’s terms of reference can be found here.
Under the Honourable Patrick A.A. Ryan, Q.C., a retired Justice of the Court of Appeal of New Brunswick , the MLA Compensation Review Commission will examine:
- Indemnity (salary)
- Non-taxable expense allowances
- Pension eligibility, including pension reduction from 5% to 3% per annum for early receipt (age 55) before age 60.
- Re-establishment allowances for Members defeated, resigned, or not re-offering
- Expense allowance for career re-training to a maximum of $5,000.00
The compensation review is prompted by several factors:
- The work of the Members of the Legislative Assembly is no longer a part-time pursuit; it is a full-time occupation
- Apart from inflationary increases, the basic indemnity of Members has not changed since 1980.
- Whether Members ought to pay income tax on the substantial sum now received as tax-free.
- Whether there should be a reduction in the pension income for Members who choose to ask for pension payments before age 60.
- That the pay be fair and reasonable. That the level of pay should not discourage qualified candidates from offering nor should it be a major inducement to offer.
- Transparency and accountability.