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States Members' remuneration: proposed increase for 2013 (P.127/2012) - comments

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STATES OF JERSEY

STATES MEMBERS' REMUNERATION: PROPOSED INCREASE FOR 2013 (P.127/2012) – COMMENTS

Presented to the States on 21st December 2012 by the Privileges and Procedures Committee

STATES GREFFE

2012   Price code: A  P.127 Com.

COMMENTS

For the following reasons, the Privileges and Procedures Committee cannot support this proposition.

  1. The States should not be directly engaged in the setting of their own rates of remuneration.

This proposition, which the Committee regrets was not referred to it before lodging, risks  prompting  an  extended,  politically  motivated  and  generally  inappropriate discussion of an issue that the States had the foresight to refer to an external body some  9 years  previously.  States  Members  tend  to  have  a  range  of  financial circumstances and can therefore be expected to approach this proposition from very different personal perspectives.

In 2003 the Assembly agreed that it was totally inappropriate for States Members to be directly responsible for setting their own levels of pay and to keep discussing their remuneration on the floor of the Assembly, as had happened repeatedly up to that time.  The  independent  States  Members'  Remuneration  Review  Body  was  thus established  in 2004  and given  specific terms  of  reference.  PPC  believes  that  the various members of the Review Body – who serve in an honorary capacity – have carried out their duties very professionally; and that the most recent report of the Review Body (R.132/2012 refers) provides further evidence of their high standard of work.

  1. The Review Body has followed the terms of reference set by the States.

Members may recall that, as recently as June of this year, the States reviewed and amended the terms of reference of the Review Body. They instructed the Review Body to make recommendations for 2013 having consulted, having taken into account matters which it considered were relevant, and having had particular regard to (but not being bound by) the following –

  1. the  principles  that  the  level  of  remuneration  available  to  elected members should be sufficient to ensure that no person is precluded from  serving  as  a  member  of  the  States  by  reason  of  insufficient income  and  that  all  elected  members  should  be  able  to enjoy  a reasonable  standard  of  living,  so  that  the  broadest  spectrum  of persons are able to serve as members of the Assembly;
  2. the economic and fiscal situation prevailing in Jersey, any budgetary restraints on the States of Jersey and the States' inflation target, if any, for the period under review.

Whereas  the  proposer  of  this  proposition  maintains  that  the  Review  Body's recommendations  are  wrong  insofar  as  it  would  be  manifestly  inequitable  to implement them, PPC is satisfied that the Review Body has simply fulfilled the brief it was  given,  notwithstanding  the  latter's  acknowledgement  that  striking  a  balance between the competing requirements of its terms of reference at (i) and (ii) above was difficult.

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P.127/2012 Com.

  1. The  PPC  is not  aware  of  any  exceptional  circumstances  that  would warrant setting aside the recommendations of the Review Body.

Given PPC's contention that the Review Body has followed precisely the terms of reference given to it by the States, the question then arises as to whether there are any exceptional  economic,  fiscal  or  other  relevant  circumstances  that  have  become apparent since the terms of reference were set, and which should have had a material bearing on the Review Body's recommendations. The Committee sees no evidence of any exceptional circumstances that have become apparent since June.

The Committee has no comment to make on the increase in remuneration proposed for 2013. PPC nevertheless wishes to remind Members that they are not obliged to take the  full  amount  of  remuneration  available  to  them.  Any  Member  who  wishes  to receive less than the total needs only to notify the States Treasury of the reduced amount that they wish to receive.

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