The Knesset
Research and Information Center
Salary and Benefits of Parliament Members in developed countries
Submitted to the Public Committee on Salary of MKs headed by Prof. Haim
Levy
The Knesset, Research and
Information Center
Kiryat
Ben
Gurion,
Jerusalem 91950
Tel: 02-6408240/1
Fax: 02-6496103
www.knesset.gov.il
Author: Sarah Zwebner 10 Cheshvan 5775
3 November 2014
and Itamar Milrad
Approved by: Ami Zadik,
Director, Department of
Budgetary Control
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1. Background
This document is being submitted at the request of the Public Committee on MK
Salaries headed by Prof. Haim Levy.1 The document contains statistics on the
gross base monthly salary of parliament members (who do not fill an extra
position in the parliament that earns an additional salary such as Parliament
Speaker) and benefits in 12 developed countries. Salary statistics are presented in
the local currency of each country, and comparisons are made in three ways:
based on the purchasing power parity (PPP) in each country, a comparison that
takes into account the level of prices in each country; comparison of salary of
parliament members vis-à-vis the average salary in that country; comparison of
the salary of parliament members in relation to the per capita GDP in that country.
Also reviewed were the benefits that might affect the comparison of current salary
of parliament members in the different countries:
 Permit for additional salaried work of a member of parliament and
accompanying benefits
 Exemption from income tax on salary from other payments
 Additional funds and accompanying benefits received by parliament
members
 Provisions for pension
 Methods for updating parliament members' salary
It should be noted that every country has other payments and benefits for
parliament members, in addition to the base salary, including public relation
expenses, supplements for attendance in parliament, communication,
transportation, lodging, etc.
2. Details on salary and accompanying benefits in various countries
2.1 Israel2
As of January 2014, the monthly base salary of a MK who does not fill any
additional position3 is NIS 35,489. This salary is updated every January based
on the change in average salary in the market and is incremented with a cost of
living increment in the amount of NIS 3,408, so that the total salary is NIS
38,897. A public committee appointed by the Knesset is authorized to
recommend a salary and other payments to be made to MKs and is entitled to
recommend methods on linking and updating salaries.4 MKs are subject to the
ordinary tax laws so that the salaries of MKs are taxable. MKs are not entitled
1
This document is updating and expanding a document on the same issue dated 17 July 2014.
Adv. Arbel Astarchan, Legal Department of the Knesset, Email, 8 September 2014; Haim Avidor,
Knesset Chief Accountant, email, 3 November 2014; Adv. Dina Tzadok "Mechanisms for Calculating
the Salaries of Parliament Members " Legal Review, 22 July 2013.
3
Such as Knesset Speaker, Head of the Opposition, Deputy Knesset Speaker, Committee Chairperson.
4
The Knesset Law – 5754-1994.
2
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Research and Information Center
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to be engaged in any other occupation or salaried employment. 5 In this
context, it should be noted that the explanations to Draft Law 2397 that
amended this section stated "the draft amendment aims to ensure that the MK's
attention and time is wholly dedicated to the parliamentary work and to the
public…on the other hand, proposed, according to the Rosen-Zvi Committee
proposal, is to provide MK's with a reasonable salary in order to relieve them
the need for additional sources of income outside the Knesset."6. MKs who
first began serving since 1999 are assured a cumulative pension, as any civil
servant.
Additional Benefits and Payments
 Communication – financing of two telephone lines at home, fax for
home, mobile phone and use up to a sum of NIS 25,016 per year, a
subscription to two daily newspapers.
 Mail – free shipment of up to 15,000 letters per year + additional sum
of NIS 615 per month for telegrams and other mail.
 Lodging – any member whose permanent residents is not located in
Jerusalem is entitled to stay at a hotel in Jerusalem during meetings, or
a monthly rent of NIS 3,295. This bonus will be grossed up in tax for
anyone who lives over 100km from Jerusalem.
 Per diem – NIS 105 per day of attendance.
 Clothing – annual sum standard for director generals in government
ministries.
 Transportation – leased vehicle or reimbursement of vehicle expenses,
financing travel on Highway 6.
 Study fund and provident fund – provision of 7.5% of the salary into a
study fund.
 Provision to a provident fund of 5% of the non-pension salary items.
 Public relations budget – NIS 49,000 per year for expenses related to
public relations and for MKs who employ a parliamentary office – NIS
69,000 per year.
 2 parliamentary assistants – from the Knesset budget.
 Pension advice at the start of the term.
 Language – NIS 4040 per year for language studies
 Annual medical examination at a medical institution in the amount of
up to NIS 914.
2.2 United States7
Since January 2009, the base salary of US Congress members was $14,000
per month (NIS 51,0168). The salary of the Speaker of the House of Representatives
5
Section 13a(a) of the Immunity, Rights and Duties of Knesset Members 5711-1951.
Explanations of the draft law Immunity, Rights and Duties of Knesset Members (Amendment No. 9f)
5755-1995
7
Ms. Jennifer Manning, US Congress, response to ECPRD question, 10 September 2014.
8
The exchange rate in this document is based on the representative exchange rate as of 2 October 2014
with the exception of New Zealand. The Bank of Israel, Representative Exchange Rates. The exchange
rate for the New Zealand dollar was determined according to the site http://www.xe.com on 6 October
2014.
6
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and the President of the Senate is $18,625 (NIS 67,869). Members of the House of
Representatives and Senators are entitled to earn additional outside salary of up to
$2,269 (NIS 8,268), comprising 15% of the base annual salary of the manager.
Various outside works are prohibited to Congress members. For example, a Congress
member cannot work for a company or organization that provides professional
services that involve a fiduciary relationship (with the exception of medicine),
Congress members cannot be members of board of directors of any organization or
company, Congress members cannot be employed in teaching without a permit from
the Ethics Committee.
House of Representative members and Senators cannot receive a retainer (or salary
for lectures). The salary of a Congress member is taxable but he can deduct from his
salary (for the purpose of calculating income for tax purposes) housing expenses in
the amount of up to $3,000 (approximately NIS 10,932) per year, if they are far from
their district or home state. Congress members are entitled to provisions for pension
after 5 years of service (including military service), and there are various pension
plans that are contingent on seniority and age. The pension plans are identical to the
pension plan offered to civil servants. Congress members must also pay Social
Security.
Other Benefits and Payments:
 Health insurance and life insurance
 MRA – Members' Representational Allowance – a bonus designed to help
elected members perform their job. The grant can be used for travel, mail,
office equipment, office rent, assistance, etc. The grant is composed of three
elements: personal, office and communication. The personal component is
fixed for all parliament members. The office and communication component
varies based on the distance from Washington to the district represented by the
parliament member. The MRA ranges between $1,183,717 - $1,356,445 (NIS
4,313,465 – NIS 4,942,866).
2.3 Belgium (Chamber of Representatives)9
The base monthly salary of a member of parliament is Euro 7,172 (NIS
33,038) with an extra salary for the Parliament Speaker, executive members
and committee chairs. A parliament member is entitled to work other jobs
under certain conditions but they are prohibited from engaging in any other
occupation in civil service. The salary of a parliament member is taxable.
Parliament members are insured in a pension plan, which includes a provision
in the amount of 8.5% of the annual salary. After 36 years of service, and if
the parliament member is at least 62 years of age, he will be entitled to a full
pension (75% of the gross annual salary).
Additional benefits and payments:
9
Response of Mrs. Gennart Martin of the Belgian Chamber of Representatives to the ECPRD question
from 25 September 2014.
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
Communication – laser printer in the amount of Euro 825 (NIS 3,800),
Euro 43 (NIS 198) per month, connection to the internet, subscription
to papers.
 Mail – 1500 stamped envelopes per year.
 Travel – free travel on trains and public transportation, reimbursement
of travel expenses.
 Job expense bonus – Euro 2,008 (NIS 9,250 per month tax exempt).
 Parliamentary assistants – one assistant from the house budget.
 Office – equipped office in the Chamber of Representatives.
 Languages – language courses in the Chamber of Representatives.
 Health – private health insurance
2.4 Switzerland10
The salary of a parliament member in 2013 amounted to 5,800 Swiss Francs
(NIS 22,114): 2,166 Francs (NIS 8,259) base salary + 440 Francs (NIS 1,678)
per meeting day. A member of parliament can engage in other work (a
parliament member will dedicate an average of 60% of this time to
parliamentary work. Most parliament members have additional employment).
The salary of a parliament member is taxable. Parliament members have a
pension plan in the amount of 13,475 (NIS 51,389) per year, one-quarter of
which at the expense of the Parliament member.
Other Tax-exempt Benefits and Payments:
 Annual grant for assistants and office equipment – 33,000 Swiss
Francs per year (NIS 125,822)
 Per Diem – 115 Francs (NIS 438) per day
 Lodging – 180 Francs (NIS 686) per night between meetings
 Overseas travel grant – 180 Francs (NIS 686) per day
 Distance grant – 22.50 Francs (NIS 86) per quarter hour above 90
minutes travel from Berne.
 Travel – 4,640 Francs (NIS 17, 691) per year
 Parliament members with certain positions are entitled to additional
grants, such as grant for writing reports, grant for deputy Chair, etc.
2.5 France (National Assembly)11
The base monthly salary of a parliament member is Euro 5,514.68 (NIS 25,403)
since 1 July 2010. The base salary is calculated based on the base salary of civil
service executives, which is equivalent to the average of the highest and lowest
salary in civil service (hors eschelle). In addition to the base salary, a parliament
member receives a position salary and housing salary. Housing salary comprises
3% of the base salary : Euro 165.44 (NIS 762) and a position salary is Euro
1,420.3 (NIS 6,543). In other words, Euro 7,100.15 (NIS 32, 707) per month. The
10
Response of Mrs. Barbara Brun del Re of the Swiss Parliament to ECPRD question from 25
September 2014.
11
Report 17 on the financial status of parliament members: http://www2.assembleenationale.fr/decouvrir-l-assemblee/role-et-pouvoirs-de-l-asemblee-nationale/le-depute/la-situationamaterielle-due-depute The National Assembly, 15 April 2014.
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salary of a parliament member is taxable. Parliament members may engage in
other occupations up to a sum of Euro 2,757.34 (NIS 12,702) per month.
Parliament members who were elected after June 2012 receive a provision for
pension in the amount of Euro 1065.37 (NIS 4,908).
Additional tax-exempt grants and payments:
 Representative grant – Euro 5,700 (NIS 26,580) per month, the
representative grant for parliament member expenses related to job
performance and that is not paid by the national assembly, and for which
he receives no reimbursement from the assembly.
 Employment of parliamentary assistants – a parliament member is the
direct employer of his assistants and may employ between 1-5 assistants at
a sum of Euro 9,504 (NIS 43,780) per month (sum is based on 3 assistants
per parliament member). If a parliament member does not take full
advantage of the sum, the budget will be returned to the assembly or
faction from which the parliament member employed the assistants.12
 Travel – free travel on trains, use of parliament vehicles (12 vehicles
available to parliament members), travel to work in taxies if no vehicles
are available, budget for flights of parliament members living at a distance.
 Office – every parliament member has an office in the National Assembly
that includes office equipment.
 Communication – installation of a land line and internet at home and 5
mobile phones
 Mail – budget for shipping mail.
 Lodging – the office of the parliament member has a room for lodging.
There are also rooms for lodging near the parliament.
 Unemployment grant – at the end of the term.
2.6 Australia13
A parliament member receives a base monthly salary of Australian dollar 16,260
(NIS 52,030). The salary of parliament members is determined by an independent
statutory authority. The majority of parliament members do not engage in other
employment and there is a prohibition against receiving salary from the state. The
parliament members salary is taxable but only some of the benefits are tax
exempt. Parliament members elected after 2004 allocate 15.4% of their salary to a
fixed pension fund.
Additional grants and payments:
 Electorate allowance – calculated based on the size of the select area for
areas that are larger than 5000 square kilometers: 3,833.33 dollars (NIS
12,266) per month.
 Travel – financing of flights for work purposes. $271 (NIS 867) per
meeting day for travel. Vehicle or reimbursement of travel expenses in the
amount of $1,625 (NIS 5,200) per month.
12
Ibid.
Marion Bartlett, Director, People Strategies Office, department of the House of Representative,
email, September 16th, 2014.
13
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

Office – equipped office in parliament and in the electorate area.
Communication – the sum is determined based on the number of
electorates.
 Equipment - $39,945 (NIS 127,820) per year for equipment.
 Parliamentary assistants – a member of parliament is entitled to employ 4
employees.
2.7 New Zealand14
The base monthly salary of a parliament member is $12,316.66 (NIS 35,332). The
Remuneration Authority determines the salary of parliament members. A
parliament member can engage in other employment as long as they report it to
the Registry of Pecuniary Interests to prevent any conflict of interest (there is no
ceiling for outside work). Parliament members can subscribe to personal pension
plans.
Additional benefits and payments:
 Expense allowance of $16,300 (NIS 46,758) per year used to cover
expenses incurred by the parliament member to perform his job. The
allowance is tax exempt and given as a fixed sum.
 Travel – parliament member is entitled to travel reimbursements.
 Lodging – annual sum of $28,000 (NIS 80,321) for lodging.
 Communication and grant for team members.
2.8 Britain (House of Commons)15
A parliament member salary is Pound 5,588 (NIS 32,881) per month (as of April
2014). An additional salary is paid to the deputy chairs of parliament and to
committee chairs. The salary for parliament members is determined by the
Independent Parliamentary Standards Authority, which is an independent statutory
authority. The salary of parliament members is taxable. Parliament members may
engage in other employment and there is no limit regarding the amount of salary
they can earn but this salary must be reported.
Parliament members participate in a pension plan in which they and the employer
allocate sums of money. Parliament members can decide on the sum he or she
wishes to allocate (between 7.5% - 13%) and the scope of rights are determined
based on the years accumulated.
Additional benefits and payments:
 Lodging expenses – for parliament members who do not live in London.
 Office expenses – Pound 25,900 (NIS 152,390) per year for people who
reside in London and 23,250 Pounds (NIS 136,798) for parliament
members outside of London.
14
Mary Tinsley, Research Services Senior Librarian, e mail, September 12th, 2014.
Response of Mrs. Richard Kelly of the British House of Commons to ECPRD question from 30
September 2014.
15
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
Staff expenses – Pound 145,500 (NIS 856,093) per year for London
residents and Pound 138,600 (NIS 815,495) for parliament members
outside London.
 Start of term expenses – Pound 6000 (NIS 35,303) for the year after
elections.
 Winding up expenses – Pound 57,150 (NIS 336,2590 per year for London
residents and Pound 53,950 (NIS 317,431) for parliament members outside
of London.
 Travel expenses –upon request.
2.9 Spain16
The salary of congress members is Euro 2,814 (NIS 17,569) per month, with
additions for officer such as faction chair. The salary is determined by parliament
itself. The salary of congress members as well as additional benefits that they
receive are taxable. Congress members are entitled to engage in other work but in
a very limited manner, and only in a certain type of activity and under clear
conditions. The principle being that congress members must complete their
mandate as a full-time position. For example, members of the board of directors of
the Spanish television and broadcast authority, members of the board in the Prime
Minister's Office and Senate members cannot be members of Congress. In
addition, Congress members cannot serve on an executive body in a public utility
or corporation, if a congress member is appointed by parliament to sit on the
executive committee of a public entity, he cannot receive a salary. Congress
members will not work as civil servants or as consultants to a public company.
Congress members who prior to their appointment were professors at university
can continue to teach and research. Parliament members can continue to manage
their personal and family assets; literature, art, science and creations can continue
to be fields of engagement for congress members.17 For congress members who
prior to the election were members of a pension plan, the parliament will allocate
the continue allocations to the same plan.
Additional benefits and payments:
 Travel expenses – reimbursement for travel expenses (vehicles that are
only given to parliament members with an additional role), travel for
anyone who does not live in Madrid.
 Office – every parliament member is assigned an equipped office in
parliament.
2.10
Norway18
The salary of parliament members is Norwegian Krone 72,091.67 (NIS 40,761)
per month. The salary for the President of Parliament, Deputy Speaker, and
16
Response of Mrs. Maria Estravis House of Representatives in Spain to ECORD question on 16
September 2014.
17
Ms. Refuls-Sereno Maria Rosa, Information, Research and Publication Administration, Department
of European Affairs, Congress of Deputies, email, 31 October 2014.
18
Response of Mrs. Cathrine Brevik Forland, Parliament of Norway to ECPRD question from 30
September 2014.
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committee chairpersons are higher. The decision to update the salary was made by
parliament following submission of the recommendations of the Salary
Committee and the recommendation of the parliament presidency. The salary of
parliament members is taxable. Parliament members can engage in other
employment but must report within one month of the position that they are filling
and declare their income in the public database. Parliament members have a
pension plan, with no allocation from their salary.
Additional benefits and payments:
 Communication – reimbursement of expenses for mobile phones and land
lines
 Insurance – private insurance for parliament members
 Lodging – parliament provides to its members who live more than 40km
distance from parliament a furnished apartment.
 Parking – parliament members receive parking in the parliament building.
 Overseas travel – financed by parliament.
 Travel – for parliament members who do not live in Oslo, reimbursement
of travel expenses, on days when there are no meetings, for travel to and
from parliament to home.
 Daycare expenses – for a child below the age of one, while the parliament
member is traveling for business.
 Training grant – 7.5% of the salary.
 Office – equipped in parliament.
 Languages – free access to English, German and French language courses.
2.11
Germany (Bundestag)19
The salary for Bundestag members is Euro 8,252 (NIS 38,013) per month. The
salary of parliament members is linked to the salary of civil service executives
(Class B6, such as the mayor of a city with more than 50,000 residents, and Class
R6 on the Federal Salary Scale, for example a judge in a federal high court). The
salary of parliament members is taxable. Parliament members are not entitled to
be employed as a judge, soldier or in civil service. With regards to employees in
the private sector, the recommendation is that they suspend themselves.
Furthermore, the federal constitutional court determined that parliament members
actually work in Parliament in a full-time position and as such, the salary of a
parliament member must correspond accordingly. Parliament members are
entitled to a pension plan in which 2.5% of his salary is allocated.
Additional benefits and payments:



19
Expenses grant – for performance of his job in the amount of Euro 4,123
(NIS 18,993) per month tax exempt.
Staff grant – Euro 15,798 (NIS 72,773) per month.
Office – equipped office in the Bundestag building, communication
systems and information.
Members of the Budestag Act, 2013. Members' benefits, 2013.
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Research and Information Center
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




2.12
Equipment grant – Euro 12,000 (NIS 55,278) per year to purchase
equipment.
Reimbursement of security expenses – to adopt security measures up to an
amount of Euro 19,000 (NIS 87,524) including replacement of locks.
Travel – car, free travel on public transportation, reimbursement of flight
expenses on the job.
Health insurance and national insurance.
Transition grant – at the end of the mandate, the parliament member will
receive a transition grant based on the period of time during which he
served as parliament member.
Canada20
The salary of a parliament member who does not have another role in parliament
is Canadian $13,641.66 (NIS 44,713). The salary of a parliament member is
updated every year based on the index that is based on the rise of salaries in the
private sector.21 Parliament members are entitled to benefits package that is
composed of three elements:
 Sessional Indemnity
 Incidental expense allowance – not subject to tax and does not require
submission of receipts
 Pension plan – parliament members are entitled to a pension if they
allocate sums for at least 6 years and are 55 years of age. For parliament
members under the age of 69, 4% of the sessional indemnity will be
allocated.
Parliament members who are not minister can work, within certain limitations
with regards to the content of the work. There is no restriction on salary earned by
parliament members outside of parliament. Parliament members must declare all
of their income in a declaration of capital that they submit. The salary of
parliament members as well as the majority of benefits are taxable.
Additional benefits and payments:
 Travel from Ottawa to the electorate area and into the electorate area
 Budget for team of assistants
 Health insurance and housing grant
3. Summary: International Comparison
The salary of parliament members from countries reviewed were presented above in
local currency and are accurate for 2013 or 2014.
The various salary levels were compared in five ways:
 Base salary in dollar terms.
20
Response of Mrs. Hether Delesli, Parliament Librarian, Canada to ECPRD question, from 30
September 2014.
21
Adv. Dina Tzadok. "Mechanisms for Calculating the Salary of Parliament Members" legal Review,
22 July 2013.
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



Purchase Power Parity (PPP)22 comparison, which takes into account the
level of prices in each country. The comparison presents the salary in
comparison with price levels, e.g. if the salary level for parliament members
in two countries is similar, the average salary in a similar market and GDP
but material difference exist in price levels, the PPP comparison will provide
the differences in the standardized salary levels;
Comparison of the ratio between the salary of parliament members and the
average salary in the market. This comparison reveals the depth of the gap
that exists between the salary of elected officials and the average salary in the
market (at the same time, it should be noted that the comparison does not
take into account the salary gaps in each country, as reflected in the ratio
between the average salary and the external salary);
Comparison between the salary of parliament members and the GDP per
capita in each country. This comparison reflects the salary of parliament
members in comparison to the economic wealth created in each country.
Comparison between the salary of parliament members and the salary of
judges sitting in the High Court.
Diagram 1 below presents the base salary of parliament members (not including
additional benefits) in dollars.
Diagram 1 – Salary of Parliament Members from Different Countries (dollar)23
Australia
US
Canada
Nor
way
Ger
ma
ny
Israel
Average
New
Zealand
Belgium
Britain
France
Switzerland
The data in the diagram reveals that the salary of Israeli MKs is approximately
$10,773, higher than the average in 12 of the countries reviewed ($10,140). The
countries with higher salaries are Australia (15,697) and Canada (13,247) and the
countries with the lowest salary are Spain (3,736) and Switzerland (6,257 dollars)
22
PPP (Purchasing Price Parity) – exchange rate standardized to purchasing power. The rate
standardizes the exchange rate to the actual purchasing power of the various currencies based on the
price level of sample of products in each country. The exchange rates are formulated in conjunction
with the OECD and the EU and includes a comparison of prices of over 3000 different products and
services.
23
Conversion rate is the average conversion rate OECD, PPPs and Exchange Rates, accessed: October
2, 2014.
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Spain
Diagram 2 presents the base salary of parliament members (not including additional
benefits) in dollars based on the Purchase Price Parity (PPP). As specified, this
comparison takes into account the price levels in each country.
Diagram 2 – Salary of Parliament Members in Different Countries in Dollars in
terms of Purchasing Price Parity (PPP)24
US
Canada
Australia
Germany
Israel
Average
New
Zealand
Belgium
Britain
Norway
France
Switzerland
Data on the diagram reveals that the salary of an MK in Israel is 9,762 dollars PPP,
higher than the average in 12 countries that were reviewed (8,82 dollars PPP). The
countries with a high salary are US (14,000 dollars PPP) and Canada (11,026 dollars
PPP), and the countries with the low salaries are Spain (4,119 dollar PPP) and
Switzerland (4,173 dollars PPP). It should be noted that in comparison of data on
nominal salary in Diagram 1, Israel is below average, whereas a comparison of salary
data based on PPP, Israel is above average.
24
Standardized salary in terms of PPP for 2013. OECD, PPPs and Exchange Rates, accessed October
2, 2014
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Spain
Diagram 3 – Ratio between Parliamentary Member Salaries and Average Salary
for Full-Time Position in Various Countries (2013)25
Israel
US
Germany
Canada
Australia
Average
Britain
Belgium
France
Norway
Spain
Switzerland
The data in the diagram reveals that the salary of an Israeli MK is 3.7 times higher
than the average salary for a full time position. This ration is high in comparison with
11 countries that were reviewed (there is no data for average wages in New Zealand).
Countries with a relatively high ration include the US (3.4) and Germany (2.6) and
countries with a relatively low ration, i.e. salary of parliament members is lower than
the average salary in the country are Switzerland (0.8) and Spain (1.3).
Diagram 4 below presents the ratio between the salary of parliament members and the
GDP in that country
25
Average salary for 100% position in 2013. This salary differs from the definition of average salary
published by the Central Bureau of Statistics from time to time, which also includes salary for part-time
positions. OECD, LFS – Average Annual Wages, accessed October 2, 2014.
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Diagram 4 – Ratio between salary of parliament members and GDP in various
countries (2013)
Israel
US
Canada
Germany
New
Zealand
Australia
Britain
Belgium
Average
France
Spain
Norway
The comparison in the diagram reveals that the ratio between salary of parliament
members and GDP in Israel is 3.6, the highest among all countries reviewed. The
average ration among the other countries reviewed was 2.5.
Diagram 5 below presents the ratio between the salary of parliament members and the
salary of judges in the reviewed countries.
Diagram 5 – Ratio between the salaries of parliament members and the salary of
senior judges in the High Court26
Germany
Belgium
Average
Israel
France
Britain
Spain
26
Israel: the salary of a High Court judge with ten years judisical seniority (including cost of living,
unique addition and addition of judicial seniority): Knesset Research and Information Center. Salary of
Judges and other requested information, Ori Tal-Sapiro, 11 September 2014.
Other countries: salary of a supreme court judge or highest appellate court gross. European
Commission for the Efficiency of Justice, Judicial Systems of the European Union Countries, page 26
June 2013. Britain: salary of judges in England Wales, salary converted from source to local currency
based on the average exchange rate for 2013.
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Switzerland
The data on the table reveals that the salary of MKs in Israel comprises 62.2% of the
salary of HCJ judges. This ratio is lower than the average ratio (63.2%). Countries
with a relative high ratio are Germany, where the salary of a parliament member is
higher than the salary of a High Court judge and Belgium (67.3%). Countries with a
relatively low ration are Spain (30.2%) and Britain (32.5%).
Table 1 below presents summary data for each of the countries reviewed, including
salary in local currency, salary in terms of PPP, ration of salary of parliament
members to average salary, additional work, tax exemption, benefits and other items,
pension and salary update methods.
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Table 1 – Summary Data on Salary of Parliament Members and Other Items
Country
US
(Congress
Members)
Canada
Australia
Base
Monthly
Salary
$14,000
Salary in
dollar PPP
(standardized
purchasing
power)
Ratio
between
salary of
parliament
member
and
average
salary
$14,000
3.0
Is other work
permitted and
under what
conditions
Is salary
exempt
from taxes
Other benefits
and items
Pension
Yes. Salary up to
42,269 (NIS
8,268) per month
No, with the
exception of
amortization
of housing
expenses
Life and health
insurance,
Social Security
- MRA,
representative
grant
Electorate grant,
secondary grant,
travel, health
insurance,
housing grant
and budget for
assistants
Electorate
budget, travel,
office,
communication,
equipment,
parliamentary
Exists,
dependent on
age, seniority
and
retirement
plan
Exists,
allocation by
parliamentary
member
Canada
$13,641.66
$11,026
2.7 Yes, must report.
No, some of
the benefits
are tax
exempt
16,260
Australian
Dollar
$10,768
2.5 Yes, but not in
civil service.
No
Salary
Update
Base don
index based
on increase
in salary in
private
sector
Exists,
Independent
allocation by statutory
parliamentary committee
member
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Germany
Euro 8,252
$10,530
Israel
NIS 38,897
$9,762
New
Zealand
$12,316.66
$8,465
2.8 Not as a judge,
soldier or civil
service.
Recommendation
is to agree to
suspension in
private sector.
No, some of
the benefits
are tax
exempt
3.6 No
No
Yes, must
reported
No
assistants
Expenses grant,
staff grant,
equipment
grant, office,
travel,
reimbursement
of security
expense and
transition grant
Communication,
mail, lodging,
per diem,
clothing,
vehicle, public
relations,
assistants,
languages, study
fund and
provident fund,
medical
examination
Expenses
allocation,
travel, lodging,
communication
and staff
Exists
Linked to
salary of
civil service
executives
Pension from
1999
Every
January
based on
average
salary in the
market +
cost of
living
Personal
Independent
pension plan, committee
allocation of
parliamentary
member
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Belgium
Britain
Norway
France
Euro 7,172
$8,463
2.0 Yes, but with
prohibition on
civil service
work
No
Pound
5,588.33
$8,039
2.1 Yes
No
72,091.67
Norwegian
Krone
$7,967
1.8 Yes, must be
reported
No
Euro 5,514.68
$6,524
1.9 Yes, up to a
ceiling of Euro
2,757 per month
No,
additional
benefits and
payments
are tax
exempt
Communication,
mail, travel,
performance
expenses,
parliamentary
assistants,
languages,
office, health
Lodging, office,
staff, start of
term, windup
and travel
Communication,
insurance
lodging,
parking, jobrelated travel,
daycare
expenses,
training, office
and language
study
Representative
grant,
parliamentary
assistants,
travel, office,
communication,
Exists, with
allocation by
parliament
member
Exists, with
allocation by
parliament
member
Exists, with
no allocation
from salary
of parliament
member
Independent
authority
Exists
Linked to salary
of civil service
executives
Parliament upon
recommendation
of salary
committee
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Switzerland
Spain
5,800 Swiss
Francs
(including
attendance
grant)
Euro 2,813.87
$4,173
0.8 Yes
No, benefits
are tax
exempt
$4,119
1.3 Yes with
restrictions
No
mail, lodging,
unemployment
Parliamentary
assistants, office
equipment, per
diem, lodging,
travel, distance
Travel and
office
Exists, with
allocation by
parliament
member
Exists for
parliament
members
who are
already
subscribed to
a pension
plan
Parliament
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The comparison of the table reveals the following:
Additional employment: of the 12 countries reviewed, only Israel has instituted a
sweeping prohibition on additional employment. As specified in Section 2.1 above,
the draft law on the sweeping prohibition against additional employment, the proposal
included raising the salary of MKs to a reasonable level.27. Germany has a prohibition
against working in civil service and a recommendation to not work in the private
sector. In two countries, employment in additional work is permitted with limits on
outside salary (US, France). In three countries, employment in additional work is
allowed with restrictions (Belgium, Australia and Spain) and in the remaining five
countries (Switzerland, New Zealand, Britain, Norway and Canada), there is no
restriction on the additional workplace but the salary outside the parliament must be
reported.
Tax exemption: in all countries reviewed, the salary of parliament members is
taxable.
Additional benefits and items: in all countries reviewed, there were additional
benefits and items beyond the current salary.
Pension: in all countries reviewed, parliament members enjoyed a certain level of
pension. In most (other than Norway), there is an allocation by parliament members.
Salary update: based on the data, in some of the countries, the salary of parliament
members is determined by an independent committee or independent authority (New
Zealand, Australia and Britain). In some, it is based on an automatic update that
depends on economic indexes (Germany, Canada and France). In Israel, a public
committee was set up in accordance with the Law and has the authority to make
recommendations on the subject to the Knesset Committee. The Knesset Committee
can accept or amend the recommendations.
In Norway, salary updates are determined based on parliament decision at the
recommendation of the committee and in Spain, it is set based on parliament
decision.28
27
See footnote 6
For more information on linkage mechanisms of parliament members, see : Knesset Legal
Department – Legislation and Legal Research, Mechanisms for Calculating the Salary of Parliament
Members – Comparative Survey, Adv. Dina Tzadok, J uly 2013.
28
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