Jacinda Ardern says she's 'frustrated' she hasn't been allowed to take a pay cut and explains why she can't even give the money to charity

  • New Zealand PM announced two months ago she would take 20 per cent pay cut
  • Jacinda Ardern has since expressed her frustration on still being on full pay
  • Promised pay cuts over since months finally signed off on and take effect July 9 

By Kylie Stevens For Daily Mail Australia

Published: | Updated:

Jacinda Ardern has expressed her frustration in still being on full pay two months after she agreed to take a 20 per cent cut.

The New Zealand Prime Minister announced in April her NZ$470,000 a year salary would be slashed by one fifth for six months in a show of solidarity with Kiwis struggling financially during the recent coronavirus lockdown.  

Government ministers, Opposition Leader Simon Bridges and top public sector executives will also take a 20 per cent cut while backbench MPs will have their pay slashed by 10 per cent. 

Ms Ardern says she was forced to accept her continued full pay by law but said donating a proportion of her salary to charity would be problematic.

The legislation was passed in parliament in May but took four weeks to be signed off by the Remuneration Authority.

Jacinda Ardern (pictured posing for a selfie with a Tauranga local last week) agreed to take a pay cut in a pledge of solidarity with Kiwis struggling financially during the recent pandemic

Jacinda Ardern (pictured posing for a selfie with a Tauranga local last week) agreed to take a pay cut in a pledge of solidarity with Kiwis struggling financially during the recent pandemic

Ms Ardern has assured the cuts will apply for six months when they take effect on July 9.

'What I am frustrated by is how long it's taken,' Ms Ardern told reporters on Tuesday. 

'That is frustrating, but regardless ... it will last for six months.'

'One of the frustrations for us is, I did test whether I could just not accept my full pay but I was told 'No'. By law I couldn't do that. 

'So we changed the law, now we're waiting for it to be implemented by the Remuneration Authority.' 

'Frustratingly, the simplest option was to change the law but unfortunately that's what is taking the longest.' 

Jacinda Ardern (pictured last week) has expressed her frustration in the delay of the 20 per cent pay cut over six months being signed off on

Jacinda Ardern (pictured last week) has expressed her frustration in the delay of the 20 per cent pay cut over six months being signed off on

Remuneration Authority chairwoman Dame Fran Wilde​ said it had to make sure the pay cuts were fairly set.

'There has been absolutely no delay on the part of the Remuneration Authority. This was done very fast,' she told Stuff.

'We had to do all of that testings of the numbers. We then had written it up in legal form, we had sent it to Parliamentary Council Office, who had also done there checking - which takes a little while - and then we signed it and it was gazetted. And that all happened in less than four weeks.'

Frontline public sector workers such as police officers and health care professionals won't be affected by the pay cut. 

Ms Ardern will take a NZ$47,000 pay cut over half a year.

Deputy prime minister Winston Peters will go from $334,734 a year to $267,788 for the six months while ministers will see their $296,007 salaries fall to $236,806. 

Ms Ardern said the government canvassed the idea of donating sacrificed salaries to charities.

'Giving it to charities did open up wider issues. First, we had to demonstrate what we said we were going to do. Second, it then raises the question of who a member of the Government would choose as a charity, and that could raise issues in itself,' she told NewsHub. 

ACT leader David Seymour, who had been calling for MP salary cuts before Ardern's announcement in April has volunteered to take a 20 per cent cut, which he will donate to charity.

'I'll be asking the public which organisation I should donate the remaining part of my salary to,' Mr Seymour said.

The New Zealand prime minister's NZ$470,000 a year salary would be slashed by one fifth for six months, resulting in a $47,000 pay cut

The New Zealand prime minister's NZ$470,000 a year salary would be slashed by one fifth for six months, resulting in a $47,000 pay cut

Australian Prime Minister Scott Morrison rejected calls to follow Ms Ardern's lead in having his taxpayer-funded $549,250 salary slashed, despite the devastating loss of jobs as a result of the pandemic 

'I know people are taking a hard hit every day in their businesses,' he told radio station 2GB in April.

'But I don't think it's actually helpful in a crisis to start having people turn on each other about who's getting what.'

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New Zealand PM Jacinda Ardern says she's 'frustrated' she hasn't been allowed to take a pay cut

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