Salary & Govt. Concessions for an MP (Member of Parliament)
MPs have given themselves a three fold hike in salary, now earning 68 times the country’s average salary.
However no conditions of service have changed. In the USA, members of congress cannot earn in excess of 15% from beyond their Congressional salary.
On August 27, 2010, Indian MPs voted themselves a three-fold hike for their basic salary, from Rs 16000 to Rs 50000 and doubled the constituency and office expense allowances to 40000 each. MPs will thus receive an assured income of Rs 1.3 lakh (salary of Rs 50000 plus constituency allowance of Rs 40000 and office or stationary allowance of Rs 40000 ) monthly. The repayable advance to buy a vehicle would go up from Rs 1 lakh to Rs 4 lakh with cheaper monthly interest upon the loan.
The pension for former MPs would go up from Rs. 8000 to Rs 20000 monthly. The boost in the salaries of MPs and pension to former MPs would cost the govt a further Rs 103.76 crore annually.
The increase in the daily, constituency and office expenditure allowances will definitely cost the govt an additional Rs 38.50 crore annually.
An MP’s salary is tax free and comes with additional privileges that include free petrol, free phone calls and free housing, several of it in the most costly property listings inside the country’s capital.
Most household expenses – furniture, electricity, water, laundry is likewise paid on from the State. MPs can travel anywhere in the country by railways, first-class, and get 34 free air-tickets for themselves or a companion annually.
Spouses of MPs can travel free by air through their residence to New Delhi eight times annually when Parliament is present in session and unlimited amount of time by railway.
MPs will also get every day allowance of Rs 1,000 daily to attend Parliament and Rs 2 crore annually to expend on development of their constituencies as they see fit, a practice that many of consider unconstitutional although the Supreme Court has upheld it.
Significantly, in the course of the debate that preceded the passing of one’s Salary,
Allowance and Pension of MP (Amendment) Bill 2010, some parliamentarians voiced the opinion that an independent body should be set up to settle on the future pay of MPs as there had been considerable public criticism of the indisputable fact that MPs were possibly the only portion of society that decide their personal salary increases.
In comparison with developing countries, Indian MPs have freedom to set their own salaries and perks.
In France and Japan, salaries of MPs are governed in the context of the salaries of the highest paid bureaucrats.
In Germany, the Basic Law says that the members of Bundestag will have remuneration which will cover ensure their independence.
In Switzerland, parliamentarians do not get any salary or allowance. They simply get paid leave from their employers on the days of session.
This article is compiled by Cartoonist Mayank Patel