West Yorkshire's MPs today attacked Yorkshire Water's "fat cat" directors for awarding themselves 30 per cent pay bonuses.
Bradford South MP Gerry Sutcliffe described the bonuses as an "outrage" and Keighley MP Anne Cryer accused the directors of being "greedy."
They are to raise the issue with Chancellor Gordon Brown and Consumer Affairs Minister Nigel Griffiths.
The bonus increases come just weeks after news that water bills in the region have increased by 30 per cent and during a year which has seen 12 per cent rise in customer complaints.
And it follows a plea to company directors by Chancellor Gordon Brown for them to exercise restraint and responsibility when it comes to salaries.
The extra payouts mean chief executive Kevin Bond gets an extra £55,000 on top of his basic salary of £185,000 and managing director Jonson Cox receives a £41,000 bonus on top of a basic wage of £135,000. And finance director James Newman, who has been with Yorkshire Water only since January 5, has received a bonus of £10,000.
But MP Gerry Sutcliffe said: "It is outrageous when the Chancellor is trying to create a stable economy.
"It is disgraceful to see these greedy increases just when Yorkshire Water is trying to improve its public relations.
"It shows they are totally out of touch with the public."
Mrs Cryer described the increase as appalling.
She said: "There are people in my constituency struggling on low incomes struggling to pay their water rates."
But Yorkshire Water has defended the move and says such bonuses are necessary if the company is to attract and retain the right calibre of director.
Pressure group Water Watch says the directors have been rewarded just for turning up to work. Campaigns manager Peter Bowler said: "There have been improvements in company performance but achieving standards set by the regulator is exactly what the directors are paid to do".
He added that many of the pressure group's members were also shareholders in Yorkshire Water and will be raising the matter at the company's AGM.
The bonuses were awarded members of the Remuneration Committee - a body made up of fellow directors. This is the first year they have been given.
Chief executive Kevin Bond said the criteria for the payout were set 18 months ago and had nothing to do with the restraint Gordon Brown had encouraged - which directors supported.
The company's profit-related pay scheme, which all employees benefit from, paid out £426 per employee. In addition to the bonus company directors could qualify for another payment - worth 40 per cent of their salary - in two years time.
Members of the Unison and GMB unions have been balloted twice and have rejected the company's pay offer by a massive majority. Organisers are now planning a strike ballot.
"Members fear the company wants to make savings on their pay and conditions, in order to safeguard profits in the future and they will not let this happen," said John Brearley of the GMB.
Converted for the new archive on 30 June 2000. Some images and formatting may have been lost in the conversion.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereComments are closed on this article