To recall, last November the European Court of Justice ruled that the Council “exceeded the powers conferred on it by the Staff Regulations” by fixing an increase of 1.85% and not a 3.7% as proposed by the European Commission. The Court annulled the Council Regulation’s provisions cutting the proposed wage increase of the EU officials with effect from July 2009 to June 2010. Member States have opposed to such pay rise due to the economic crisis. Several Member States have introduced wage freezes for their national civil servants, and now, because the ECJ says so, they have to accept it. The existing regulation remains in effect until the Council adopts a new regulation in line with the ECJ’s ruling.

The present 2011 draft budget excludes the appropriations as regard the outstanding 2009 salary adjustment (1,85 %) for all institutions, but a draft amending budget will be adopted in 2011. Just in case, a margin has been left under the ceiling of heading 5 (Administration).

On 13 December, the Council adopted a regulation adjusting the remuneration and pensions of EU officials with effect from 1 July 2009. The EU civil servants will now get their 3.7% pay rise, and six months will be paid retrospectively.

Let’s take a look at what EU civil servants will get per month. Their remuneration comprises basic salary, family allowances as well as other allowances. 

Their basic salary range between €18 352,49 and €3 000,02

They might also get per month:

parental leave allowance: EUR 910,82,

household allowance: EUR 170,35.

dependent child allowance: EUR 372,24.

education allowance: 252,56.

daily subsistence allowance:

– EUR 39,13 for an official who is entitled to the household allowance

– EUR 31,55 for an official who is not entitled to the household allowance

They also get:

installation allowance:

– EUR 1 113,88 for a servant who is entitled to the household allowance

– EUR 662,31 for a servant who is not entitled to the household allowance

expatriation allowance: EUR 504,89.

kilometric allowance, to which a flat-rate supplement is added, amounting to:

– EUR 189,29 if the distance by train between the place of employment and the place of origin is between 725 km and 1 450 km

– EUR 378,55 if the distance by train between the place of employment and the place of origin is greater than 1 450 km

In the meantime the European Parliament’s bureau has also decided to increase the MEPs allowance in line with the ECJ ruling. Hence, the daily allowance for MEPs will increase from €297 to €304 and the general expenditure allowance increases from €4202 to €4299 per month. Such pay rise will be introduced early next year but it would also have effect from July 2009.

A UK diplomat is absolutely right when saying , according to The, "At a time when governments and public sector organisations across the EU are cutting their spending and when our citizens are losing their jobs, it's impossible to understand why MEPs think they should get to spend more."

The Daily Telegraph reports that “A backdated salary rise combined with increased allowances means that all 736 European Parliament deputies will receive a New Year's lump sum gift of over £5,400 despite pay freezes and cuts for the voters they represent across the EU.” Moreover, it points out that “It will take their net personal income to more than £170,000 in 2011.”