Civil servants will have significant salary benefitsafter implementation of the provisions of the new billin which they are included increases in the State after 14 years.

With the increases that will be applied from 1/1/2024 it results a weighted average increase of 6.5% in the salaries of civil servants and an approximately 10.5% increase in their earnings from all the interventions implemented in the period 1/2023 to 1/2024. From the summation of all interventions it follows that each civil servant will have an average annual net benefit of 1,476 eurosi.e. more than one extra salary per year.

The increases to be applied from 1/1/2024 are distributed as follows:

1) Universal increase of 70 euros. The basic salary of all civil servants is increased by 70 euros gross. It concerns both the employees included in the uniform payroll (463,000) and those included in the special payrolls (200,000). The additional fiscal cost amounts to 557.5 million euros per year. This horizontal increase favors low-wage workers, as it is given not on a percentage basis, but on a fixed basis.

2) Increase in family allowance. The family benefit is received by 50.3% of civil servants (334,000) and today it is 50 euros for an employee with one child, 70 euros for two children, 120 euros for three children, 170 euros for four children and plus 70 euros for each additional child (mixed). From 1/1/2024 the amounts increase to 70 euros for one child, 120 euros for two children, 170 euros for three children, 220 euros for four children and plus 70 euros for each additional child. Therefore, a civil servant with one child will receive an additional increase of 20 euros and with two or more children an additional 50 euros and so on. The additional fiscal cost amounts to 155 million euros per year.

3) 30% increase in position of responsibility allowance. About 65,000 civil servants receive the position of responsibility allowance. It concerns heads of departments, deputy directors, managers, general managers, while correspondingly it also concerns the allowances of the position of responsibility of the members of the Armed Forces and the Security Forces, the doctors of the National Health Service, the researchers, the heads of education, etc.. Thus, a department head will receive an additional 87 euros, a deputy manager 105 euros, a manager 135 euros and a general manager 300 euros more per month. The additional fiscal cost amounts to 51.6 million euros per year.

4) Increase by 15 euros of the allowance of special working conditions of the executives of the Armed Forces and the Security Forces who are married or have children. This is a special benefit that 112,000 beneficiaries receive. This allowance is adjusted from 55 euros to 70 euros for married people without children and from 115 euros to 130 euros for married people with children. The additional fiscal cost amounts to 20.2 million euros per year.

5) 30% increase in border allowance. The border allowance increases from 100 to 130 euros and concerns 21,200 personnel of the Armed Forces, the Coast Guard, the Hellenic Police and the Fire Brigade. The additional fiscal cost amounts to 7.7 million euros per year.

6) Additional salary increase for faculty members (Teaching Research Staff) and establishment of a special library allowance, with a total weighted average salary increase of 10%. Specifically, the salary of faculty members (12,500 beneficiaries) is adjusted, retroactively from 07/10/2022, in compliance with the relevant decisions of the Council of Ministers. This increase is in addition to the increase of 70 euros and the family allowance that all civil servants will receive and was analyzed above. The fiscal cost amounts to 49.8 million euros for the period from 07/10/2022 to 31/12/2023 and to an additional 40.5 million euros per year from 1/1/2024 onwards.

Analytically:

– For faculty members of HEIs (Universities, Polytechnics, College of Fine Arts, ASPAITE), in addition to the above and in compliance with the decisions of the Council, the basic salary is increased by 5%.
– A special library allowance of 100 to 200 euros is granted to the faculty members of HEIs, in addition to the above and in compliance with the decisions of the CoE, depending on the educational level.
– The basic salary of teaching staff of other Higher Education institutions (ASEI, AEA, AEN, IEP) is increased from 2.5% to 4% and a special library allowance is granted from 100 to 150 euros, depending on the educational level.

7) The mileage compensation of employees increases from 0.15 euros to 0.20 euros (by 33%) for travel related to official needs. In addition, overnight accommodation costs are adjusted domestically from 25% to 33%, as well as abroad by 10%. It concerns all natural persons who move by order of the State for official needs. The additional fiscal cost amounts to 25 million euros per year.

The total fiscal cost of the interventions concerning both the Uniform and the Special Salaries amounts to 857.5 million euros gross or 530 million euros net, (after deductions and income tax) per year from 2024 onwards. In addition, there is an additional cost of 49.8 million euros for 2023 regarding the retroactive salary adjustment of faculty members.

Examples

A) A Civil Servant with 2 children will see an increase of around 70 euros per month in his salary and an additional 50 euros increase in the family allowance for the two children. Total annual benefit: 1,440 euros. If this employee also holds the position of department head, then he will have an additional benefit of 87 euros per month due to the 30% increase in the position of responsibility allowance. Therefore, the total annual benefit is 2,484 euros gross or 1,540 euros net. In the total benefit, the tax-free increase of 1,000 euros for each child should be included, which will bring an additional benefit of 220 euros per year.

B) A lieutenant colonel of the Army with two children will see a 70 euro per month salary increase and an additional 50 euro increase in the family allowance for the two children. In addition, it will see an increase of €180 a year from the increase in the Armed Forces special working conditions allowance, as well as an increase of €144 a year due to the increase in the position of responsibility allowance. If the officer in question serves at the border then he has an additional annual benefit of 360 euros due to the 30% increase in the border allowance. Total annual benefit from all increases: 2,124 euros gross or 1,316 euros net per year. In the total benefit, the tax-free increase of 1,000 euros for each child should be included, which will bring an additional benefit of 220 euros per year.

C) A university-educated employee in the position of Director with 1 child will see a 70 euro per month salary increase and an additional 20 euro per month increase in family allowance for the child. In addition, he will see a 30% increase in the position of responsibility allowance he receives, i.e. an additional 135 euros per month. Annual benefit: 2,700 euros gross or 1,674 euros net.

D) A compulsory education employee with 2 children will receive a 70 euro per month salary increase and an additional 50 euro increase in the family benefit for the two children. Total annual benefit: 1,440 euros gross or 893 euros net. The percentage increase in his income exceeds 12%.

E) A lecturer with 2 children with a salary of 1,889 euros (until 31/12/2022) will see an increase in his salary to 2,208 euros due to the additional increase he will receive in accordance with the relevant decisions of the Council of Ministers, as well as the introduction of the allowance library. This increase includes the horizontal increase of 70 euros as well as the increase in the family allowance for the two children (additional 50 euros). The total increase in his salary from all of the above exceeds 16.8%.