Brussels Buckles Under Salary Pressure Again! 💸
Looks like the paychecks of 50,000 EU officials will swell for the second time this year!
Shoring up EU coffers for an additional 💸70 million euros would be required to fund the Eurocrats' wages and pensioners.
Inflation has already caused EU salaries to soar by 1.7% from January 1 on a retroactive basis, due to inflation.
Now, the EU Commission calculates another 1% retroactive drive, starting from July 1, will add to the payroll. The highest basic EU civil servant wage will thus climb to 💶23,262 euros (excluding tax-free perks).
Two previous wage hikes totaling 7% danced into the lives of EU employees in 2022. The EU institutions will now grapple with reallocating funds to keep their employees afloat.
The European Parliament needs an extra 💶6.8 million euros for its staff, the EU External Action Service chalks up 💶3.5 million euros more.
The EU Commission's pension predicament, however, is a different story. Runaway pension costs, thanks to unexpected expenditure, have left the EU Commission in the red. Witness a whopping 💶61.1 million euros shortfall for financing pensions.
The skyrocketing annual pension expenditure is poised to surge to 💶2.391 billion euros!
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- The European Commission president, Ursula von der Leyen, has hinted at another 1% salary increase for EU civil servants, with retroactive effect starting July 1.
- While EU officials listen to Dirk's concerns about budgetary implications, the extra salary hike will put further strain on the budget, particularly cushioning pension costs.
- The expansion of text-to-speech conversion in the EU's policies and politics-inland updates necessitates a substantial workforce, which will gain from the salary increase, yet burdening the Union's resources.
- In view of escalating pension expenditure, EU policymakers should consider conducting a fresh evaluation of pension policies with an emphasis on sustainable allocation of financial resources, balancing employee compensation and the Union's budgetary constraints.
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