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Greece cuts MPs wages

by Daily Sabah

ISTANBUL Aug 12, 2015 - 12:00 am GMT+3
by Daily Sabah Aug 12, 2015 12:00 am
A new law proposal from the Greek government, led by Alexis Tsipras, will lower the wages of government officials as well as increasing the tax rates on them, if it passes. The ministers and senior government officers will see their wages cut by about 15 percent while the figure stands at about 20 percent for members of parliament (MPs). Prime Minister Tsipras said that the decision was a symbolic one, meaning that it is not only to save money but also to make a statement.

Tsipras said the tax immunity on MPs could be overlooked while Greece's talks with its creditors include the tax exemption of farmers, adding that the political system must correspond with public opinion. That's why the rearrangement of MP wages must be done at once, the Greek prime minister said. The government's official wages will be reorganized in a way that no government executive will earn more than the president of the Supreme Court. As well as wages, the commissions that the government officials earn will be subjected to taxation.

Currently, the gross monthly earnings of MPs are 5,700 euros, and that can climb up to a total of 8,200 when expenditure payments are included. MPs get 75 euros for each commission meeting they attend, which is not subjected to tax. MPs are allowed to employ three senior consultants in their offices, and the wages of these employees can be as much as 2,000 euros a month, which the government pays. The MPs also benefit from special discounts in transportation.
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