A four per cent pay rise has been approved for WA politicians, but some say the increase falls short

A four per cent pay rise has been approved for WA politicians, but some say the increase falls short WA Premier Roger Cook stands in WA Parliament on 13 February 2024 to answer a question during question time. (ABC News: Keane Bourke)

A number of West Australian MPs won't be running in next year's state election in part because they're not being paid enough, according to one woman who helps set wages for the sector.

This is despite a Salaries and Allowances Tribunal decision to give state MPs a 4 per cent salary increase, on top of an additional $1,000 motor vehicle allowance.

So how was this figure calculated and does it take into account the requirements of the job?

How much of a rise are MPs getting?

The recent increase takes the base salary for a backbencher to $173,393 a year. Senior politicians will take home more than that, with WA Premier Roger Cook's pay for helming the state boosted to $392,584.

That's well over the average weekly full-time earnings in WA of $2,108, or $109, 616 over a year.

By comparison, the starting salary for a state school teacher is $78,397, even less for a level one registered nurse.

The tribunal chair, Professor Margaret Seares, said not everyone had been happy with the pay increase. 

"I certainly know of two politicians who won't be continuing largely because in the private sector, they will be able to generate greater income than they will as a politician," she told Perth ABC Radio.

Why walk away from a six-figure paycheck?

For radio talkback caller Michelle, a career in politics "was just not something I could afford to do for my family".

She worked in investment analysis for a major mining company and pulled in well over a quarter of a million dollars a year.

"And when I looked at going to parliament — you can't get a mortgage because your job is so uncertain, you're going to take a drop in salary of at least 25 per cent, and you're on call 24/7 and have no privacy," she told Perth ABC Radio.

'It's not a very attractive proposition."

It's an issue Professor Seares has to consider.

"Many people look at the salary," she said.

"You can choose between going into politics and perhaps going up to work in the mining industry and I think most of us know which one is going to win out, particularly in terms of the fact that there's such uncertainty about being a politician.

"It's a relatively unstable and relatively unforgiving job."

How does the pay rise compare to other states?

Before the 4 per cent pay rise, WA MPs were the lowest paid of all the states except for Tasmania.

That was largely because their salaries were frozen for four years by the previous McGowan government to help rein in the state's then-budget deficit.

This increase now puts WA's politicians ahead of New South Wales, Tasmania and the Northern Territory.

Does the pay hike for MPs pass the pub test?

The salaries tribunal said the pay rise was just below the state's wage price index of 4.2 per cent, as of March.

"We know that the general public service, the (wages) offer was 4.75. We felt 4 per cent was sort of an acceptable figure for politicians," Professor Seares said.

Members of the State School Teacher's Union are currently voting on a government pay offer of 5 per cent, 4 per cent, and 3 per cent increases over three years.

The union has recommended they accept the offer.

Unions WA is pushing for an increase of 12 per cent over two years for public sector workers, to catch up after "consecutive years of wage suppression" under the Labor government's previous wages policy and to counter inflation.

CPSU/CSA state secretary Rikki Hendon pointed out attraction and retention was also an issue for the union's 44,000 public sector members.

"All our members are seeking is pay that catches up and keeps up because they have gone significantly backwards over a period of time under the government's past restrictive wages policies," she said.

"Without it, the attraction and retention crisis in the sector will only continue to get worse, affecting the delivery of public services for all Western Australians."

What do other public servants get paid?

But it's the same 4 per cent increase in pay by the salaries tribunal for top public servants that has raised eyebrows.

"Many public sector workers are extremely frustrated to see the very legitimate attraction and retention concerns for public sector CEOs being acknowledged through significant improvements to pay, whilst for those who work on the ground, delivering services every day, those same concerns aren't being acknowledged," Ms Hendon said.

Police Commissioner Col Blanch, Under Treasurer Michael Barnes and Public Sector Commissioner Sharyn O'Neill are now all on staggering salaries of $528,302, while Fire and Emergency Services Commissioner Darren Klemm's pay has gone up to $446,181.

"I absolutely accept that people sort of roll their eyes," Professor Seares said.

She said the under treasurer, effectively the state's banker, was on a half million-dollar salary, while the heads of major banks were paid in the tens of millions.

"You can see how it's very unattractive for people with expertise from the private sector or even other states."

 
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