[Monaco] 3.5% civil service salaries increase

Monaco’s Minister of State has announced an increase of 3.5 per cent for the salaries of hospital workers and civil servants, plus an increase in year-end bonuses, Hello Monaco reports.

Pierre Dartout made the announcement during a press conference on September 16. The pay rise will represent a government expenditure of 6.2 million euros.

Civil servants were greeted by the good news as they returned to work after the holidays. Their 3.5 per cent pay rise is effective immediately and reportedly comes in response to increased inflation rates brought on by a challenging global situation.

The Principality’s inflation rate - the same as France’s -  will not be known until the end of 2022 but it is expected to be the highest inflation in almost forty years, since 1983. In global terms, the UK and the US are feeling the effects of inflation the hardest, however, that doesn’t mean Europe is free from the strain.

Civil servants, workers at the Princess Grace Hospital Centre and retirees will experience an increase of 70 euros per month for someone earning 2,000 euros, a decision which has been confirmed by the Sovereign. The 3.5 per cent raise will be back-dated from September 1.

The salary increase will also reportedly be accompanied by an increase in ‘Carlo vouchers’ or end-of-year bonuses, for civil servants. For the lowest salaries, they will increase from 650 to 850 euros, for the median salaries, from 400 to 650 euros and for the highest salaries from 450 to 650 euros. The Carlo bonuses will represent a 1.5 million euro government expenditure.

Despite the 7.7 million total expenditure on raises and bonuses, Monaco’s budget - which will be discussed in mid-October - is still expected to have a surplus of 8.8 million euros. According to Pierre Dartout, the specific economic dynamic of Monaco allows for these raises. Monaco experienced an unexpected boost in tax revenue in the hotel sector over the summer and last year’s budget results were also more promising than expected.

Monaco’s Minister of State has announced an increase of 3.5 per cent for the salaries of hospital workers and civil servants, plus an increase in year-end bonuses, Hello Monaco reports.

Pierre Dartout made the announcement during a press conference on September 16. The pay rise will represent a government expenditure of 6.2 million euros.

Civil servants were greeted by the good news as they returned to work after the holidays. Their 3.5 per cent pay rise is effective immediately and reportedly comes in response to increased inflation rates brought on by a challenging global situation.

The Principality’s inflation rate - the same as France’s -  will not be known until the end of 2022 but it is expected to be the highest inflation in almost forty years, since 1983. In global terms, the UK and the US are feeling the effects of inflation the hardest, however, that doesn’t mean Europe is free from the strain.

Civil servants, workers at the Princess Grace Hospital Centre and retirees will experience an increase of 70 euros per month for someone earning 2,000 euros, a decision which has been confirmed by the Sovereign. The 3.5 per cent raise will be back-dated from September 1.

The salary increase will also reportedly be accompanied by an increase in ‘Carlo vouchers’ or end-of-year bonuses, for civil servants. For the lowest salaries, they will increase from 650 to 850 euros, for the median salaries, from 400 to 650 euros and for the highest salaries from 450 to 650 euros. The Carlo bonuses will represent a 1.5 million euro government expenditure.

Despite the 7.7 million total expenditure on raises and bonuses, Monaco’s budget - which will be discussed in mid-October - is still expected to have a surplus of 8.8 million euros. According to Pierre Dartout, the specific economic dynamic of Monaco allows for these raises. Monaco experienced an unexpected boost in tax revenue in the hotel sector over the summer and last year’s budget results were also more promising than expected.