They've got the numbers wrong - Govt confident MPs pay legislation is robust

The Government insists the calculations for setting MP's pay is correct, and delays with the proposed legislation are because of minor technical issues.

MPs will no longer be receiving their widely criticised 5.5% pay increase this year. Source: 1 NEWS

Opposition parties and some right wing bloggers have questioned the new method for setting pay rates in the proposed legislation, saying it could see MPs get more money than they have in the past.

John Key had said he wanted legislation passed under urgency this week which would see MP's annual pay increases based on the average annual percentage increase across the public sector. This would be calculated using data from the Statistics New Zealand's Quarterly Employment Survey and for this year is likely to be 1.5%.

The Greens and right wing blogger David Farrar both produced historical data this week which they claim show that using the QES could give MPs more money. However the Minister for Workplace Relations Michael Woodhouse says the Greens have got their numbers wrong and they won't be making any changes to the calculation formula.

Mr Woodhouse says the delay is technical and relates to wording around MPs benefits.

He says he is confident that the bill will be introduced to Parliament next week.