HOW DETERMINED - HISTORICAL PERSPECTIVE

• Prior to 1972, pay increases for Parliamentarian were effected on an ad hoc basis. Because of this the salaries payable to this category lagged behind what could be considered reasonable when compared to salaries in other sectors. In 1972, Prime Minister Michael Manley appointed a Committee chaired by Mr. L.E. Ashenheim to investigate and make recommendations to the Government in respect of Parliamentary Salaries Other members of the Committee were Mr. Barclay Ewart, Mr. P.A.H. Rousseau and Mr. Gerald Mair.
• In the report submitted by the Committee, the following comments were made "we have found the problem of determining the amount of salary which should be paid to Ministers and other office holders, to be one of considerable difficulty". It further stated that "the office of Prime Minister is, by any standard, one which transcends in difficulty, complexity and responsibility that of the highest paid executives in the private sector, and the other offices under consideration are in varying degrees no less arduous and demanding of time and talent than senior and highly rewarded positions in industry and commerce."
• Based on these observations the Committee recommended increases ranging from 66.67 per cent to 14.4 per cent for Parliamentarians. The increases were, however, not immediately implemented due to objection mainly from the Opposition, concerning the levels recommended. The Standing Finance Committee of the House of Representatives was requested to consider the proposals and to report to the Parliament. The Committee recommended that the increases with minor adjustments should be implemented and this was approved by the House of Representatives on the July 25, 1973 for implementation with effect from April 1, 1973. It was further decided that Cabinet Ministers should receive salary at $1.00 per month above the salary paid to Permanent Secretaries.