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Backlash over tax-free salaries

Saturday 9 May 2015 | Published in Regional

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HONIARA – There is a growing discontent against moves in Solomon Islands to offer tax-free salaries to federal members of parliament.

The MP tax exemption was included as part of a collection of new rewards announced by the Parliamentary Entitlements Commission (PEC) in April.

Provincial leader Peter Ramohia told Radio Australia’s Pacific Beat the entitlements reflected “the self-serving nature of our leaders”.

“Voters at large are questioning their integrity and honesty. In the eyes of voters, such a decision only reflects negatively on the part of our leaders,” he said.

Prime minister Manesseh Sogavare last week supported the PEC’s decision and said it was fair as members of parliament fed up to 50 people every day.

“I can assure you this decision has already opened the floodgates for other elected provincial leaders from all the nine provinces in the country to also demand for the same award,” Ramohia said.

The PEC’s changes are reportedly in addition to a four per cent salary increase, new pension entitlements and S$550,000 ($A81,830) in discretionary funds.

A group of angry citizens has launched a constitutional challenge against the move to offer tax-free salaries.

Lawyer Andrew Radcliff, who is representing the claimants, said proceedings had commenced in the High Court “challenging the validity” of the PEC’s amendment regulations.

“The regulations include the controversial tax-free salaries for MPs and the introduction of a pension for life for one-term MPs,” he said in a statement.

“Neither the claimants nor their legal advisers will be commenting further on these issues now that the matter is before the court,” he said.

Transparency Solomon Islands (TSI) board member Bob Pollard said the increases are “absolutely outrageous” in light of the country’s economy.

“Look at the hospitals, look at the schools and the services and the roads. How can the MPs dare to think they deserve such a salary?” he asked.

TSI created a petition to “facilitate the public anger” against the entitlements, which will be submitted to the PEC.

From last Friday, Solomon Islanders donned red shirts as part of the “Be in Red” movement, which organiser Pitch Lodge said was a peaceful way to channel and reflect the public’s anger.

“The feeling against the tax-free pay is escalating, and what we are trying to do is to avoid having a violent and aggressive method of protest,” Lodge said.

“Currently we are trying at least to get the government and the prime minister to listen to the public, so that there wouldn’t be any destructive protests that we’ve experienced before.”

Protestors shared images on social media across the weekend, and Peter Ramohia said he expected to see the public outrage grow.

“People will continue to protest until the members reverse this decision – it will be up to our leaders with their right-thinking and their concern for our country,” he said.

“This kind of decision is made by the system and institutions that are set up to make such decisions. And to change such decisions, the system should be looked at – to cater for good decision-making in the future.”

Prime minister Manesseh Sogavare last week supported the PEC’s decision, saying critics were “living in an imaginary world” as MPs that MPs faced major financial pressures and had to feed dozens of people every day.

Louise Hiele, also from Transparency Solomon Islands, said it was disappointing the government had chosen to ignore the people’s concerns.

“There are urgent and pressing needs in this country,” she said.

“The government has traditionally struggled to provide a decent level of social services to all its citizens. It has just passed this historic budget, which they are calling the people’s budget.

“I think that’s really what sparked people’s anger. To have this rhetoric around the people’s budget and we are going to do our best to improve social services, and at the same time increasing their own entitlements and benefits when people in the country are really struggling.”

Hiele said the anti-corruption watchdog was “supportive of the actions citizens are taking to test the PEC’s decision”.

“Solomon Islanders are not necessarily known for civil disobedience or for taking direct actions about issues,” she said.

“But we’re noticing that citizens are being very willing to come forward and challenge this decision rather than talking about this at the bus top or feeling outraged in their houses and their work places.

“They are actually taking concrete steps to show people exactly how upset they are.”