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Edmonton councillors ponder their pay raise

Edmonton city councillors are in line for a wage hike this year that’s nearly double the inflation rate, but some members say they should consider taking less.

“I’m prepared to go with a reduction. I don’t know what that reduction would be, but I’m prepared to look at not taking 4.5 per cent,” Coun. Amarjeet Sohi said Thursday. “We’re heading into negotiations with our city employees, and we need to set some sort of expectations, but also keeping in mind that last year city employees got 4.5 per cent and council members got (half a) per cent.”

Under a system created in 2001, pay for Edmonton politicians rises annually at the same rate as the previous year’s average Alberta weekly earnings.

This would give them an additional 4.6 per cent in 2011. Mayor Stephen Mandel now earns $144,061 a year, while councillors are paid $79,787, with one-third of their salaries tax-free. Each month, the mayor receives $1,089 and councillors $544 as a vehicle allowance, in addition to health, dental and other benefits.

Over the past decade, council pay has gone up 34 per cent, compared to a 37 per cent hike for most unionized city workers and nearly 40 per cent for police officers, according to a city report.

Politicians received an extra .7 per cent last year, it says. Holding to this year’s proposed wage boost would cost the city $70,000.

Although Calgary’s aldermen and mayor took 4.6 per cent raises this year, they’ve created a committee to review compensation.

The salaries of MLAs haven’t changed since 2008.

Coun. Kerry Diotte campaigned during the October election to limit this year’s tax increase to the inflation rate, now running at 2.4 per cent. Council pay cheques should go up by roughly the same amount in 2011, he said.

“That’s probably a pretty good guidepost … it certainly doesn’t look very good when our own staff are taking less. I think there has to be some leadership shown.”

He’d like to change the compensation system so in future it reflects average wage hikes in Edmonton rather than the entire province, saying the figures can be skewed by a spike in oilpatch earnings.

“We have some real challenges here right off the bat. We know that the revenue that’s going to be lost with speed-on-green (ticket refunds), the snow cleanup is going to be understandably pricey, there’s lots of things waiting in the weeds.”

Staff will report later this year on how to set up an independent council compensation committee in 2012, as required under a motion passed in 2006.

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