Toronto councillors vote to give themselves a 24 per cent raise

Toronto city council has voted in favour of increasing the salary for councillors by 24 per cent from $137,537 to $170,588.

The raise, which was approved following a 15 to 8 vote, is estimated to cost the city $956,816.30. Funds will for it will come from the Corporate Non-Program Expenditure Budget, which will be directed to the City Council Budget.

A staff report on councillor remuneration was produced by the city’s People & Equity division with assistance from a third-party advisor, Korn Ferry, and debated on Thursday night.

It recommended the more than $33,000 pay hike, which includes a 2.81 per cent bump tied to inflation.

This figure, it noted, is based on the “unique demands placed on” city councillors, who represent a large number of constituents and oversee operating and capital budgets larger than some provinces.

The last time Toronto’s councillors got a raise was in 2006. Since then, the city’s elected officials have only seen annual increases tied to inflation, with the exception of 2011, 2020, and 2021. They also have the lowest compensation per constituent among comparable cities, according to the report, and don’t get paid for their appointments on boards or other service agencies.

Veteran Coun. James Pasternak put forward the motion in November to review councillor salaries and said that a comparative report that was requested in 2019 was never brought forward. That review was first requested after Ontario Premier Doug Ford slashed the size of city council from 47 seats to 25, which effectively doubled the size of councillor’s constituencies.

Chow called proposed pay hike a ‘bit steep’

Earlier this week, Mayor Olivia Chow called the proposed pay hike a “bit steep,” adding that said she has “always” thought that it’s important for a third party to make decisions on salary increases, for both councillors and mayors.

“I do know that the councillors are facing a lot of pressure also, so I think there will be robust and healthy debate at council,” said Chow, who made $225,304.04 last year. Her salary is not impacted by the councillors’ increase.

In 2006, Toronto city council agreed to adjust councillor compensation beyond the 75th percentile of the “comparator market group,” which means that council members would earn more than 75 per cent of their contemporaries in similar-sized cities. However, the report found that compensation has fallen below that level and current compensation for councillors sits at around the 62nd percentile.

This 24 per cent pay bump brings councillor salary back to the 75th percentile benchmark, the report noted, compared to other cities like Brampton, Calgary, Edmonton, Hamilton, Markham, Mississauga, Ottawa, Vaughan, and Winnipeg.

With files from CTV News Toronto’s Phil Tsekouras.