Barnett rolls bonuses into govt exec pay

SYDNEY (AAP)- Bonuses have been rolled into the salaries of senior executives of a West Australian government-owned utility company despite Premier Colin Barnett declaring he would scrap them.
Under questioning from the opposition, Mr Barnett said the government had removed bonus payments by building their value into the base salaries of Western Power executives.
Opposition Leader Eric Ripper said the move will mean the senior executives of Western Power will ultimately get higher wages as households are burdened by increasing utility prices.
Mr Ripper said the government rolled the maximum bonus of 25 per cent into senior executive's contracts meaning it would "massively" increase their superannuation pay outs.
He said it would also increase the dollar value of the senior executive's future annual wage contracts.
"What's happened is absolutely outrageous - it's a broken promise," Mr Ripper told reporters.
"The premier told people he would get rid of these performance bonuses and what he's done is add them to the base salaries so those earning $300,000 to $400,000 a year are going to get a 25 per cent increase."
Mr Ripper said the move could not be justified as families were facing "savage" increases in electricity, water and gas prices.
Since Mr Barnett's government came to office in 2008, electricity prices have risen by 57 per cent.
Mr Barnett, who has repeatedly stated bonuses for public sector executives weren't appropriate, defended the move saying it would ensure there would be no bonus payment in the future.
"What this government has done is get rid of the bonus structure and built, in most cases, them into the salary," he told parliament.
"We didn't talk about reneging or trying to undo people's contract they had legally entered into with (the previous Labor) government," he told parliament.