
TORONTO — Ontario’s Members of Provincial Parliament (MPPs) are set to receive a long-awaited salary increase and a restored pension plan under new legislation supported by all parties at Queen’s Park.
The proposed bill, announced by the Ministry of Finance on May 29, would lift the 16-year freeze on MPP salaries, which has been in place since 2009. If passed, the legislation would raise the base salary for MPPs to $157,350 annually, aligning their pay with 75 per cent of the federal MP compensation rate. Future salary adjustments would be automatically tied to federal MP increases to keep pace with inflation and national standards.
The move follows recommendations from Ontario’s Integrity Commissioner and acknowledges that MPPs have been earning significantly less than municipal officials across the province. For comparison, a City of Toronto councillor earns over $170,000, and the Mayor’s salary exceeds $231,000.
The legislation also includes the introduction of a defined benefit pension plan for MPPs, a significant shift from the existing retirement savings program. The plan will be integrated with the Public Service Pension Plan (PSPP) and offer a supplemental benefit for those who serve at least six years in office. The pension will come into effect on January 1, 2026, with full benefits available to current MPPs after the end of this legislative session.
According to the government, this change will bring Ontario’s elected officials in line with other provinces and the federal government, many of which already offer pensions as part of their standard compensation packages.
With all-party support already secured, the bill is expected to pass swiftly through the legislature.
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