8 Dec 2011

Concerns raised after Niue MPs vote themselves big salary increases

3:26 pm on 8 December 2011

A Niue opposition MP says pay increases for assembly members are a waste of the island's money.

MPs voted for the increases last week, with the premier getting a payrise of nearly 12-thousand US dollars, ministers about 9 thousand, and backbenchers 12 and a half thousand US dollars.

Terry Coe says the Premier told parliament the increases are being paid for from the interest on the country's trust fund.

He says that money would be better spent on development.

"The premier has to bring to the house a supplementary budget to pay for these increases. He hasn't done that yet. But I don't think they've got the trust money, and I am not sure that New Zealand and Australia would agree for using the trust money for salary increases."

Terry Coe says public servants and pensioners are also getting increases.