Updated: Thu Oct. 15 2009 18:03:44

ctvedmonton.ca

Following Alberta Premier Ed Stelmach's television address Wednesday evening, he's announced that he and his senior executive team are taking pay cuts effective immediately.

High-ranking government officials will reduce their pay, led by Stelmach who's overall pay will be reduced by about five per cent, which is cut of about $12,000. The premier will now earn just over $200,000.

Ministers will also have their pay reduced, and will take home about $6,000 less. The rollbacks only apply to the extra pay Stelmach and cabinet ministers receive for their senior positions, not on their base MLA pay.

"They gave themselves a 30 per cent pay hike in the summer of 2008 so it's tough to applaud them but it is a step in the right direction," said Scott Hennig with the Canadian Taxpayers Federation.

Stelmach spent nearly 16 minutes Wednesday evening on CTV outlining an economic plan for the province's recovery, which included implementing a salary freeze for all government employees.

The government plans to roll out a four-point plan to position the province for a strong recovery, which includes, putting Alberta back into a surplus position within the next three years by implementing a freeze on workers' salaries.

"Salaries for civil service managers will be frozen for two years," stated Stelmach. "We will be asking the entire public sector to share in this effort."

"We don't want to send the message to unions that we are looking for rollbacks we are simply looking for them to be involved in the fiscal situation that we are in," said Alberta Treasury Board President Lloyd Snelgrove.

Alberta's contract with the nurses' union will run out in a few months and some feel insulted by the premier's pay cut.

"Minus twelve grand, that's peanuts," said Bev Dyck with United Nurses of Alberta.

The Alberta Teachers' Association (ATA) said the cut sends a mixed message.

"If they feel they earned that increase they gave themselves last fall then they shouldn't be rolling it back now," said Carol Henderson with the ATA.

Now both unions are concerned what the move means for future negotiations. Snelgrove said the government will come to the table with "the reality of the financial situation that we are in."

CTV News asked both the Liberals and the NDP if they would reduce their pay, but a response was not received.

With files from CTV's Kevin Armstrong

Comments are now closed for this story

Larissa
Sure, a wage freeze for government officials sounds good but considering they just received a 30-34% wage increase just prior to this announcement I'm sure anyone in their position would be okay with the decision.

I am a Nurse and I am not opposed to a short-term wage freeze if it will benefit our current economic state as long as it can be ensured that there are no cutbacks for qualified nurses and health care workers. However, having said this, knowledge of the recent 30-34% wage increases granted to government officials during our time of economic 'deficit', as well as the wealthy wages and bonuses being awarded to members of Alberta Health Services board officials makes the news of wage freezes for Public Service employees who have not received such 'bonuses' makes the news much harder to swallow.

Barry
I have never made a comment about any political speech or announcement in my life...until now.

Mr, Stelmach just spent "$X" on a speech that said ABSOLUTELY NOTHING that everybody didn't already know...with ABSOLUTELY NO SOLUTIONS or PLANS to give us any hope.

If this is what the Conservative Party puts forward to give us ANY confidence in our Political Leaders....We are FINISHED...GOD HELP US in the FUTURE.

He just cost the current government MY VOTE and I am sure MANY (hopefully a majority) others.

What a disaster!!

Dave
Too little and too late Eddie. It's time Albertans wake up and send a strong message to the PC's. We have not had a decent Premier since Lougheed and Getty. Ed, you're not even in their class.

E Peters
A small move in the right direction. Now lets see an end to the enormous severance pay outs and the [so called] bonus payments.

Douglas Nikiforuk
Yahoo Ed. So you take a pay cut. Kind of like the too little too late proverb. Maybe you could stop squandering our tax dollars, then you would not have to take a pay cut to cover you and your teams sorry butts !! One fed up TAX PAYER !!

Marilynn
Another flagrant waste of taxpayers money! Ed's public address was ridiculous.

A 30% raise, but only a 5% pay cut? That's a feeble attempt at redemption for the PC party.

I had this insane hope that he would recant on the hospital bed closures....silly me.

Wake up Albertans! This is your province!! Speak up, loudly!

C Johnson
Looks like someone is getting desperate to save his job. I'd rather see him actually DO something. As it is, if this is all I see, I will NOT be voting PC next time.

@Dave - GETTY?! Seriously? Who do you think created the hole Klein worked so hard to dig us out of?

joanne
Big whoop!!! They give themselves a 30% + increase and then give back something like 5%. Get real you guys, you should have given back more like 25%. This was merely a gesture and means absolutely nothing!

Michael B.
Dave Please never use Peter Lougheed's name in the same sentence as GETTY (who was NOT a good Premier). Sorry Mr. Lougheed, he won't do it again.

As for this announcement, I am disappointed, and am considering to change parties...where is that Alliance email I got...?

Goodbye Ed, the effort was not good enough.See you down on the farm, if it is still there after this.

Brent
Life's tough being a politician these days with pay cuts and all. I've had a wage freeze for two years but I am thankful that I can still make ends meet and provide for my family. I hope that the MLAs can do the same.

eric z
I think Albertans should stop complaining about the policies, the procedures, and the actions that encompass the man THEY elected into office. Perhaps the next time an election comes to pass, the people of this province will think twice about the concept of generational voting, and voting in a party whose prime candidate does not possess a financially clear vision of the future. Sorry folks - you reap what you sow.

Debbie - Calgary
It wasn't even a gesture! He made a mockery of Albertans by thinking that taking a tiny pay cut after the 30% raise they gave themselves last year (during the beginning of the recession I might add) would actually make people believe in our current government.

GB
Does the cut even come close to the raises they've given themselves since they were sadly elected into office? Are they now going to get bonuses, allowances, expense claims or whatever else they call hush money, to make up that wage cut?