Auckland councillors have to accept pay rises

Auckland councillors are expected to learn today if they can turn down a 2.3 per cent pay rise. Photo / Richard Robinson

Auckland councillors have been told they have to accept a 2.3 per cent pay rise, but can go through a bureaucratic money-go-round to give the money back or donate it to charity.

If councillors do not want to take the increase, the council will pay the money into their bank account where it can be donated back to a council bank account.

If councillors choose to donate the increase, they have been told "the easiest way to do this is to make arrangements with your own bank to re-direct payment to another bank account".

Today, council governance director Phil Wilson responded to a request from some elected members who do not want to accept the pay rise - days out from Auckland households receiving the first instalments of an average 9.9 per cent rates rise.

Mr Wilson said the process for the independent Remuneration Authority to determine council salaries and allowances was set out in the Local Government Act.

He said the process meant the council must pay any increases determined by the authority, and outlined the process to give the money back to council or donate to charity.

Councillors Calum Penrose, Bill Cashmore and John Walker have said they would reject the pay rise and called on their colleagues to do the same.

The authority has awarded a 2.3 per cent pay rise to councillors and and Local board members increases of between 3.4 per cent and 6 per cent.

The increases come into force on July 1 and will be paid into councillors' and board members' bank accounts next Wednesday.

Councillors react

Mr Penrose said donating the money to charity would work for him and St John Ambulance would benefit.

Deputy mayor Penny Hulse would not say whether she planned to take the pay increase, turn it down or donate the money to charity.

She said pressure should not be put on individual councillors. Instead, the issue of remuneration should be discussed by elected members once a term, she said.

Councillor Linda Cooper said she planned to increase her monthly donations of $142 to four charities by $10 to one of the charities.

Councillor George Wood said he and his wife made their own decisions as to where they donated money and would continue to do so without the help of council.

Councillor Cameron Brewer said: "I think first and foremost the Mayor should urgently petition parliament to change the law surrounding the Remuneration Authority to prevent his happening again particularly when inflation is tracking so low. Parliament recently changed the law regarding their own MP salaries, so they can easily do it for us too.

"If the mayor and councillors want to set up a dedicated fund for our pay increases to support desperate ratepayers or worthy community causes then count me in. Otherwise I will be donating mine to charity."

Councillor Denise Krum said: "I will be making donations to three charities in my ward. My local ratepayers are facing a 15.9% increase next week and they might like to know a little is coming back to their area.

"I don't support the idea of a salary increase at this time but it's clear some councillors are attempting penance for their support of rate rises. It's a little late for that."