18B Fixing salaries of members of Parliament

• (1) For the purpose of any determination under section 12(1)(a)(i), the Authority must fix the salaries of members of Parliament in accordance with this section.

  (2) A salary rate for a 12-month period from 1 July to 30 June (the relevant 12-month period) must be fixed so that—

  S_r + Su_r = (S_p + Su_p) × (a ÷ b) – P_r

  where—

  S_r

  is the salary rate for the relevant 12-month period

  Su_r

  is the amount of the superannuation subsidy that will be payable (in accordance with the determination made under section 12(1)(b) and (ba)) in the relevant 12-month period

  S_p

  is the salary rate for the 12-month period immediately before the relevant 12-month period (the previous 12-month period)

  Su_p

  is the amount of the superannuation subsidy that was payable (in accordance with the determination made under section 12(1)(b) and (ba)) in the previous 12-month period

  a

  is the change in salary and wage rates for the public service as determined by the Labour Market Statistics for each of the 4 quarters of the previous 12-month period, added together and divided by 4

  b

  is the change in salary and wage rates for the public service as determined by the Labour Market Statistics for each of the 4 quarters of the 12-month period immediately before the 12-month period referred to in item a, added together and divided by 4

  P_r

  is the amount of any change in the personal benefit or potential personal benefit that the Authority is required to take into account under section 16(2)(b) of the Members of Parliament (Remuneration and Services) Act 2013.

  (3) In subsection (2), Labour Market Statistics means the Labour Market Statistics published by Statistics New Zealand or, if that survey ceases to be published, any measure certified by the Government Statistician as being equivalent to that survey.

  (4) If the Authority is fixing a salary rate for the first time for a position for which there is no previous determination, the Authority must fix the rate consistently with a comparable position or positions for members of Parliament.