The radical move has cross-party support from Ardern’s coalition partners, as well as the opposition National party.
MPs’ salaries and allowances would be frozen till July 2019, Ardern said, while “a fairer formula for future pay increases” is developed for those in politics, who earn between NZ$163,000 ($108,000) to more than NZ$450,000 ($300,000).
Ardern said the freeze was “the right thing to do” and was not about cost-cutting, but making New Zealand a more equitable nation.
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