Continuing its efforts to justify significant salary increases for its ministers, the APNU+AFC government yesterday said that both Presidents Bharrat Jagdeo and Donald Ramotar received monthly tax-free salaries of $1.7 million and now earn pensions of $4.5 million each per month in addition to perks.
In a statement responding to a letter by PPP/C parliamentarian Charles Ramson Jr asking why President David Granger’s salary as well as that of Attorney-General (AG) Basil Williams was tax free, the government in a statement, said it noted the attempts at continued misrepresentation of the increases.
The statement said that the records show that Jagdeo and Ramotar enjoyed monthly tax-free salary packages to the tune of $1,755,935 while former PPP AG Anil Nandlall and his PPP predecessors also enjoyed a tax-free salary last fixed at $1.6 million.
“Mr. Ramson may wish to ask what justifies those tax-free salaries,” the statement said.
The statement also pointed out that Granger received a 5% salary increase. “The President’s salary compares with the amount received as pension by former president Jagdeo, Ramotar and Samuel Hinds who get a total of $4,508,391 monthly or $54,100,692 annually,” the statement said.
The pension excludes an assorted array of perks, it added.
Government further noted that in the recent salary adjustment, the Prime Minister received an increase of 5.6% over the salary of the AG to correct an anomaly in the pay structure. After tax, the Prime Minister gets less pay than the AG, it said.
According to the government, for the first time, salary was set for three Vice-Presidents in the sum of $927,922 each. It said that the Vice Presidents’ salary is almost on par with that of the former Head of the Presidential Secretariat Dr Roger Luncheon, who had received in excess of a million dollars per month ($1,035,900).
The statement noted that the salary of 13 senior ministers was fixed at $869,927 each, which is 50% more than the salary of junior ministers.
“However, the senior ministers get far less in salary than former Presidential Advisor Gail Teixeira, whose salary package was $1,121,106 monthly (million dollar phone credit not included),” the statement said.
It noted that the eight junior ministers received an increase of 20% from $579,951 to $695,541 which is within the range of the salary of a Permanent Secretary.
“From the President, down to junior ministers, no one in the executive came close to the multimillion dollar super salaries under the previous regime which were paid to the former Chief Executive Officers of the Guyana Power and Light and GuySuCo etc…” the statement declared.
It said that Ramson also drew down and pocketed a substantial $430,196 every month for “moonlighting on a dubious part-time attachment with the then Office of the President while simultaneously enjoying a full private legal practice.” It said that Ramson may wish to ask himself what justifies that hefty slice from the taxpayers’ purse.
The highly controversial salary increases were heavily criticised by members of civil society as well as the opposition. The increases were quietly gazetted without a public announcement. Critics have said that ministerial salaries should not be raised much beyond the increase which was paid out to public servants.
Critics, who have urged that the decision be reversed, have pointed out that ministers enjoy a range of benefits, including duty-free concession on a motor vehicle by virtue of being Members of Parliament; chauffeur-driven State vehicle(s); housing allow-ance or the provision of free accommodation; free electricity, telephone and internet services; 24-hour guard service; a gardener/handyman; and maid services.
