Increases retroactively from June will receive near 40,000 civil servants with personal differenceaccording to a provision already passed by the government.
These are civil servants who have so far been excluded from the payroll adjustments made by the government as their fees were “frozen” precisely because of the existence of a personal difference, ERTNEWS notes.
In a circular by Deputy Minister of Finance Thanos Petralia, a partial abolition of personal dispute is being implemented for the first time, paving the way for increases in the wages of civil servants that had been excluded. The increases will be given next month, and there will be retroactivity from June 2024.
The cost of increases for the state budget is EUR 12 million, with a corresponding benefit for the beneficiaries of civil servants.
The circular essentially opens the way for the convergence of payroll progress for all employees, as the phenomenon of employees with the same qualifications and the same years of service have had great differences in earnings due to the personal dispute regime, which will no longer affect its increases.
Only the increases associated with the minimum wage of the private sector are excluded.
The circular provides that the personal difference of each employee is not abolished, but is offset by the increases of the basic salary, only under certain conditions:
If the personal difference is up to 300 euros, it is not offset. Therefore, any increase in the basic salary is full of final earnings.
If the personal difference exceeds EUR 300, then the smallest of the following two amounts is offset: 50% of the increase in the basic salary, or the excess amount of the personal difference above 300 euros.
The examples quoted by the Treasury have increased increases which in some cases reach 110 euros per month.
Example 1: Personal difference below 300 euros
- Category IP employee in the wage scale (MK) 14
- Basic salary: 1,959 euros
- Personal difference: 250 euros
It is promoted to MK 15, where:
- New basic salary: 2,018 euros
- Increase: 59 euros
What is true: The personal difference is less than 300 €, not offset.
Result: The increase is entirely in total earnings.
New earnings:
- Basic: 2,018 euros
- Personal difference: 250 euros
- Total: 2,268 euros (from 2.209 euros before)
Example 2: Personal difference equal to 300 euros
- Class IP employee in MK 14
- Basic salary: 1,959 euros
- PD: 300 euros
Promoted to MK 15, with a new basic 2,018 euros
Increase: 59 euros
What is the case: The personal difference does not exceed 300 euros, so it is not offset.
New earnings:
- Basic: 2,018 euros
- PD: 300 euros
Total: 2,318 euros (from 2,259 euros before)
Example 3a: Personal difference of 400 euros (exceeds 300 euros)
- Class IP employee in MK 14
- Basic salary: 1,959 euros
- PD: 400 euros
- BM’s growth difference: 59 €
Calculation of offsetting:
PD> 300 euros → Excessive: 400 euros – 300 euros = 100 euros
50% of the increase: 59 euros ÷ 2 = 29.50 euros
Offsetting amount: the smallest → 29.50 euros
New PD: 400 euros – 29.50 euros = 370.50 euros
New earnings:
Basic: 2,018 euros
PD: 370.50 euros
Total: 2,388.50 euros (from 2,359 euros before)
Example 3b: Personal difference of 310 euros
- Class IP employee in MK 14
- Basic salary: 1,959 euros
- PD: 310 euros
- Promoted to MK 15, with a new basic 2,018 euros
Increase: 59 euros
Calculation:
PD> 300 euros → Excessive: 310 euros – 300 € = 10 euros
50% increase: 29.50 euros
Offsetting amount: 10 euros
New PD: 310 euros – 10 euros = 300 euros
New earnings:
Basic: 2,018 euros
PD: 300 euros