Members of Parliament Challenge Canada Infrastructure Bank Bonuses Totaling $204,000 for Each Senior Manager
MPs raised tough questions about spending at the Canada Infrastructure Bank (CIB) this week, particularly regarding why salary bonuses accounted for nearly a fifth of the bank’s operating costs last year.
In 2023, bank executives received bonuses totaling over $1.2 million, averaging about $204,000 per senior manager, as reported by Blacklock’s Reporter.
This information was presented in the Commons as a response to an Inquiry of Ministry.
An additional $6.9 million was distributed in bonuses to 105 bank employees, roughly $66,000 per employee. Conservative MP Dan Muys pointed out that the combined bonuses of $8.1 million make up approximately 18 percent of the bank’s total operating costs.
“So that’s 18 percent of your operating costs,” Mr. Muys stated to bank CEO Ehren Cory during his testimony before the Commons Transport, Infrastructure, and Communities Committee on April 9.
Mr. Cory, whose annual salary is around $600,000, defended the bonuses by stating that the bank’s compensation structure is compared rigorously to the private sector.
“People working at the CIB are driven by the public sector mission of the bank, accepting compensation that may not match private sector standards,” Mr. Cory explained. “However, it must be competitive. Hence, we benchmark and provide a mix of base salary and bonus.”
When Mr. Muys expressed his view that 18 percent of operations being spent on bonuses is excessive, Mr. Cory disagreed.
The Canada Infrastructure Bank was established in 2017 with $35 billion in funding and a mission to facilitate new public works through private investment. In a 2022 report, the transport committee recommended the bank’s abolition due to inefficiencies, citing issues related to costs and transparency.
The revelation of bonuses followed a request from Conservative MP Leslyn Lewis, who highlighted the bank’s higher expenditure on salaries and overhead compared to actual infrastructure projects.
During the committee session, Ms. Lewis questioned the concern of Canadians facing daily living costs about the substantial bonuses and salaries at the bank.
Mr. Cory assured that the bank takes every taxpayer dollar seriously, emphasizing that staff costs are aimed at making investments that construct new infrastructure and provide public benefits like reducing greenhouse gas emissions.
Finally, Mr. Cory presented the committee with a positive review of the CIB’s achievements since its establishment, highlighting the bank’s investments in projects across Canada that have reached financial close, totaling nearly $13 billion of taxpayer funds.
