A radical overhaul of politicians’ salaries has been proposed by a commission that was appointed by Prime Minister Joseph Muscat a month after taking office in 2013.
A 106-page still-unpublished document presented to the Prime Minister in December 2013 recommends virtually doubling politicians’ salaries (as well as the President) and the abolition of their allowances.
The commission consists of Ombudsman Joseph Said Pullicino, Chief Electoral Commissioner Salv Gauci and Auditor General Anthony Mifsud.
The commission is also recommending the end of a ‘privileged’ service pension to MPs and former MPs; more assistance to MPs; the provision of childcare facilities to serving MPs and the possibility of Malta’s Parliament functioning on a full-time basis.
Although Dr Muscat has already ruled out an increase in politicians’ salaries in this legislature and the next, his office has so far declined requests by The Sunday Times of Malta to publish the recommendations made by the commission.
The final decision rests with Parliament following wide consultation with civil society
A copy of the detailed document, obtained by this newspaper, shows that the commission conducted a thorough study on Maltese politicians’ financial packages including comparisons with how much politicians in other countries, particularly in the EU, are paid.
The commission concluded that Maltese holders of political office are underpaid when compared with their colleagues abroad and the private sector.
With regard to how much politicians should earn, the commission said it is clear that the Prime Minister carries much more responsibility than the President, and his salary should reflect this.
It recommended that the Prime Minister should receive an almost 90 per cent increase in salary, reaching €94,975. This will be just €25 a year less than the President.
If the recommendations were to be implemented, the President would see her salary increase by 69 per cent while the salary of the Speaker and ministers would increase by 65 per cent, to just over €73,000 a year.
The commission also recommends a hefty increase in the salary of the Leader of the Opposition, putting the office almost at par with that of a minister.
The commission also suggested that Maltese MPs should become full-timers. Should that be the case, elected MPs’ salaries would more than double to €60,000 a year.
“Though it might have shown preference to Malta having full-time Members of Parliament, this is not to be considered to be either its conclusion or recommendation,” the report states.
“The final decision rests with Parliament following wide consultation with civil society,” it said.
Apart from the large increase in politicians’ salaries – which the commission admitted would be controversial – it proposed a number of other associated measures aimed at establishing a more professional approach on how the cost of politics is to be measured.
According to the commission, the current practice that ministers set their own salaries without consulting Parliament has to be abolished. Instead, the commission recommended the setting up of an ad hoc Remuneration Authority – with independent members having the respect of Parliament and civil society – to undertake future reviews of the remuneration packages of politicians. The commission said that these should be revised periodically, every five years.
The proposals also include a new system aimed at instilling more discipline among MPs. It states that a “deduction of payment” system is to be introduced for those members that regularly do not attend parliamentary sittings.
“Where a member is absent from the House for nine sitting days in a calendar year, then for the 10th and each subsequent sitting day of absence, an amount of 0.2 per cent of their yearly basic salary should be deducted.”
This proposal is in line with Labour’s electoral pledge that MPs should start being paid according to attendance. However, so far the government has failed to introduce a system.
Radical changes are also being proposed to the ‘privileged’ pension given to MPs after serving for two legislatures.
According to a special law enacted in 1979, MPs are entitled to get an extra service pension over and above the ‘normal’ social security pension.
“The committee feels it most appropriate if a decision is taken in favour of revisiting the Members of Parliament Pensions Act,” it said.
According to the commission, MPs’ service pension is to be based on the same basis and policies applicable to other local service pensions both present and future.
“This norm aims to eliminate the notion that MPs are privileged over the ordinary citizens, as regards the pension issue,” the report states.
Childcare facilities and support services to MPs also need to be bolstered.
Currently, MPs with some kind of executive power (ministers/parliamentary pecretaries) are given all facilities and assistance to perform their duties including the right to employ staff for their private secretariat.
On the other hand, the other MPs are not given any form of assistance and are left completely alone to perform theirpolitical duties.
The commission said this must change.
According to the proposals, it should be the job of the Remuneration Authority to revise the existing support services including the need for MPs to have assistance and proper facilities to deliver their contribution in an effective and efficient manner.
Did you know?
• Gozitan MPs receive €23.30 allowance per parliamentary sitting.
• All MPs get 100 envelopes with pre-paid postage a week.
• Speaker’s salary has to be €1 more than that of a minister.
• All former MPs get two free Air Malta tickets and 20 free Gozo Channel tickets.
• Following retirement from post all former presidents and prime ministers enjoy the use of a car and driver.
• All MPs who serve at least two legislatures are entitled to a special service pension. This is over and above their ‘normal’ social security pension entitlement.
Politicians remuneration package in €
President | Prime Minster | Speaker | Minister | Parliamentary Secretary | Opposition Leader | MP | |
Salary/Honorarium* | 56,310 | 50,277 | 44,245 | 44,244 | 42,233 | 40,221 | 20,110 |
Allowances | n/a | 5,823 | 5,823 | 5,832 | 5,832 | 2,330 | nil |
Transport | Official car + driver + unlimited fuel | Official car + driver + unlimited fuel + use of second car | Official car + driver + unlimited fuel | Official car + driver + unlimited fuel + use of second car | Official car + driver + unlimited fuel + use of second car | Car + Driver + 250 l/month fuel | Free Gozo channel travel/ exemption CVA |
Communications | Unlimited telephone /mobile | Unlimited telephone /mobile/internet | Unlimited telephone /mobile/ internet | Unlimited telephone /mobile /internet | Unlimited telephone /mobile/internet | nil | Free fixed line /internet |
New proposed salary | €95,000 + 69% | €94,975 + 89% | €73,132 + 65% | €73,131 + 65% | €69,807 + 65% | €71,469 + 77% | €59,834 + 49% |
*based on 2013 figures