Director General of the Ministry of internal Affairs Mordecai Cohen issued a circular on the indexation of salaries of mayors and Deputy mayors in accordance with the decision taken in January by the Knesset decision to raise the salaries of Ministers.
Salaries of heads of local authorities tied to the salaries of Ministers in accordance with the decision of the Ministry of interior a decade ago. However, indexation is not automatic, requiring the relevant circular of the General Director of the Ministry.
Salaries of mayors to grow by 4-5 thousand shekels a month depending on the size of the city (44.223 shekels gross for mayors of cities with populations over 250 thousand people 35.378 shekels to heads of administrations of settlements with population less than 5 thousand people).
The salaries of Deputy mayors will increase by 3-4 thousand shekels a month.
Given that in Israel, more than 250 mayors and local councils, and at least the same number of Deputy mayors, the indexation will cost the taxpayers more than 20 million shekels a year.
We will remind that on January 15 the Finance Committee of the Knesset approved an increase in monthly salaries of Ministers by 5 thousand shekels. The salary of the head of the government will increase by 5.5 thousand shekels per month. The proposal was initiated by the Commission Chairman Moshe Gafni («yaadut Torah») and approved by five votes to four.
Thus, the monthly salary of Ministers was increased to 44.200 shekels, Prime Minister until 49.600 NIS (gross).
In total, this addition will require an additional 2 million shekels per year on the salaries of Ministers and head of government.
Calculation of the amount of salaries was implemented retroactively taking into account the dependence on the growth of average wages, but the increase would be implemented only with the current month. The retroactive calculation of the binding amounted to approximately 3,700 shekels of 5 thousand shekels per month.
A discussion arose on the background of indexation of wages, after which the salary of the Deputy would be higher than the salary of the Minister. The reason for this phenomenon is the binding of the salaries of Ministers to the price index, while the salaries of the deputies linked to the average salary in the country. As in recent years, the inflation rate was low and the average wage increased significantly, the gap between the salaries of Ministers and deputies disappeared.
29 Jan the financial Committee of the Knesset decided to allow the Ministers and Deputy Ministers to refuse the pay raise. According to the law, employees may not opt out of the salary or part of it for any reason. Until now, the exception was only the deputies of the Knesset (amendment Bitana from 2016).
Also, the Commission clarified that currently the increase in salaries for Ministers and Deputy Ministers, but not other civil servants, whose salaries are tied to the salaries of Ministers. That is, the mayor will not be able to refuse higher wages even if they wanted to.
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