'Not acceptable': 33 percent Watercare payrises knocked back by councillors

Pay rises knocked back by Auckland Council committee

A proposal to give Watercare board members a 33 percent payrise has been knocked back by an Auckland Council committee.

A paper from staff to the Appointment and Performance Committee detailed Watercare's governance responsibilities had increased following water reform and balance sheet separation, and as such it was appropriate to increase board remuneration.

An 18 per cent pay rise for board members of Auckland Transport and Tataki Unlimited was also proposed.

Appointment and performance committee chairperson Daniel Newman told Nine to Noon reviews of pay were done once a term, but he was expecting to see a "modest increase".

"The quantum of fees proposed is not acceptable to me or my colleagues," he said.

Newman said the 33 percent increase was a "surprise" and the council needed to be mindful of the public perception around this.

"I accept people need to be remunerated but... the amounts go well beyond what is reasonable to the people of Auckland.

"[We] don't expect Aucklanders would've accepted those figures."

Newman expected the next step would be a further paper with different options on increases, but ultimately, he said it would be up to shareholders to make a call and "politicians will decide this".

The money needed for paying salary increases to the organisations would come from within the budget envelopes of the organisations themselves, Newman said. But these were ultimately council-controlled, so ratepayers were the backstop.

"My constituents in Manurewa and Papakura include some of the poorest people in Auckland, so I'm mindful of how they will see this."

During Thursday's discussions, Newman said there was support for the paper to be withdrawn.

He said he understood Watercare was a very complex organisation that did great work for Auckland and he hoped board members could be remunerated at a level that was agreeable to all.