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$217,060: Aussie pollies’ crazy pay boost

·Personal Finance Editor
·2-min read
A composite image of the Australian Prime Minister Anthony Albanese smiling and a person removing $100 notes from a wallet to signify the pay boost for Australian politicians.
Prime Minister Anthony Albanese's pay will be $564,364 a year come July 1. (Source: Getty)

Australian politicians will be taking home more pay come July 1, after being awarded a 2.75 per cent increase by the independent commission.

As of the new financial year, Australian federal politicians will receive at least $217,060 a year with bonuses added for those in the top spots.

All Australian federal politicians are paid the same base salary, plus expenses, with percentage increases depending on positions held.

For example, the Prime Minister receives the base pay plus 160 per cent ‘additional salary’.

So come July 1, Anthony Albanese will earn $564,364, an annual increase of $15,104.

In making the decision to give the pollies a pay boost, the tribunal said it was important to offer competitive wages.

“The tribunal’s primary focus is to provide competitive and equitable remuneration that is appropriate to the responsibilities and experience required of the roles, and that is sufficient to attract and retain people of calibre,” the tribunal said in its decision.

“Many of these officeholders do not expect or require that monetary compensation for their roles in the public sector be set at private-sector levels.

“Rather, officeholders serve for the public good and, in setting remuneration, the tribunal has traditionally set rates below those of the private sector.”

Minimum wage boost

This comes as the Fair Work Commission (FWC) boosted the minimum wage by 5.2 per cent, amounting to an extra $40 per week for the country’s lowest-paid workers.

The new minimum wage will also come into effect on July 1 and is set to benefit 2.6 million Australian workers.

The FWC is an independent body that sets the minimum wage and employment conditions for Australian workers.

In June each year, it reviews the minimum wage and makes a decision on how much the lowest-paid workers should get.

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