Former Victorian MPs on a parliamentary pension might not get a "windfall gain" from changes to political salaries, as the state government considers how to head off the higher payments.
Victoria's Independent Remuneration Tribunal has found former state politicians and spouses eligible for state-funded pensions would get a pay rise after the salaries of serving MPs were boosted this week.
The creation of the tribunal was meant to take pay issue out of the control of MPs themselves, after a scandal involving former speaker Telmo Languiller and his deputy Don Nardella rorting an allowance for country members.
But after the tribunal's first ruling, Premier Daniel Andrews has conceded the government might have to step in over the pensions issue.
"The tribunal has gone directly to this issue and spoken about the fact that a windfall gain is something that we should look at and make sure that doesn't happen," he told reporters on Thursday.
"It wasn't part of the intended outcome, so we are getting some advice ... [It] will be dealt with."
Pensions for eligible former MPs have always been linked to a backbencher's salary, which is going up by 3.5 per cent to $182,413.
Another independent body, Emergency Services and State Super, may be able to resolve it without the law changing, Mr Andrews said.
The premier is, however, remaining firm on accepting the tribunal's decision to hand him an 11.8 per cent pay rise by July 1, putting him on $441,439 and making him the highest-paid state leader in the country.
The fatter wallets come at the same time the government is offering an increase of just two per cent to most public sector workers.
Community Public Sector Union Victorian branch secretary Karen Batt has written to Mr Andrews about the "blatant double standard on wages".
"The justifications of their wage tribunal granting these increases equally apply to each and every government employee but these workers are denied access to similar tribunal determinations until we're forced to take industrial action," she said a statement.
Ms Batt wants a meeting to be called with the unions before workplace action is needed.
Mr Andrews said the government's wages policy was to leave enough money in the budget for more services, but said a higher pay rise could be lined up if workers accepted "trade-offs".
Australian Associated Press
