After 31 years on Burnaby city council, Derek Corrigan is reluctantly entering retirement without a government pension to fund his golden years.
The former lawyer served as a councillor for 15 years and mayor for 16, but provincial rules exempt municipal politicians from the robust pension programs their staff depend on.
“Here’s the reality – (after) 31 years in public service, you shouldn’t be just walking out the door with a kick in the ass and ‘Thanks for coming’ – You are entitled to something,” said Coun. Nick Volkow on Oct. 20, the night he was re-elected but his ally Corrigan was bested by political newcomer Mike Hurley for the mayor’s chair.
Corrigan was, however, paid a retiring allowance on every paycheck in lieu of a pension, explained the city’s deputy director of finance Bob Klimek. In 2014 (the last year the exact figure was made public), Corrigan’s retiring allowance totaled $11,932 in addition to his $126,639 salary, $13,831 car allowance, $2,000 cell phone allowance and $7,488 taxable allowance.
Public records for 2017 show Corrigan was paid a $132,576 salary, plus a $16,691 transportation allowance and $17,945 in benefits – most of which would have been allocated as his “retiring allowance.”
Klimek said the retirement allowance is offered to elected officials to incentivize professionals to run for office. It acts as a cash-in-lieu benefit, which an individual can choose to contribute to an RRSP, he said.
Volkow said he wants that changed.
“Of course, there’s always the argument ‘Why would good people want to get into politics … it’s such a grubby business,’” he said. “Why would (professional people) get into the game knowing full-well that when you’re walking out the door, there’s nothing there for you after 20 years of service.”
It’s not clear whether Corrigan shares Volkow’s view; he did not respond to a request for comment.
Simon Fraser University political scientist Sanjay Jeram said it’s hard to advocate for pay raises for politicians.
People often believe the job should be done purely as a public service but, he said, if politicians aren’t paid well, only the wealthy can afford to hold public office.
In July, the New Westminster Progressives Electors Coalition called for an end to a retirement bonus paid out to departing councillors and mayors. Unlike Burnaby’s retirement benefit, outgoing politicians in New West get a cheque equivalent to 10 per cent of their annual compensation for each year they served in office.
B.C. MLAs are paid a lifetime pension matched 4 to 1 by the government if they serve six or more years in the legislature.
– With files from Cornelia Naylor
