Economy

Former politicians benefit from old redundancy pay scheme, together receive millions

This is evident from an overview of the Ministry of the Interior.

Lost job, redundancy pay

Ministers, MPs, aldermen and mayors are entitled to redundancy pay if they lose their job. It does not matter whether they resign themselves, are expelled, are at the end of their term or are not re-elected.

The scheme now resembles the regular unemployment benefit scheme. A politician can now receive up to three years and two months redundancy pay, depending on how long he or she has held political office. In the first year after resigning, the politician receives 80 percent of his annual salary, then 70 percent.

Take advantage of old scheme

But that used to be different and a number of ex-politicians are profiting from this. Before 2010, politicians could receive redundancy pay for a maximum of six years and were also not required to apply for a job.

And were politicians ten years before retirement age when they lost their jobs? Then they could even live at the expense of the state until retirement.

In the meantime, the retirement age has also risen, allowing some ex-politicians to receive more than 10 years of redundancy pay.

812,513.53 euros

And that appears to be happening. The overview of the outgoing Minister of the Interior Kajsa Ollongren shows that a former Member of Parliament, the names are not mentioned, collected no less than 812,513.53 euros in the period 2010 – 2020. But he or she is not alone.

Seven former MPs received redundancy pay for a full decade or even a little longer. Nine MPs spent more than half a million euros per person in redundancy pay. 58 former members benefited more than 200,000 from the scheme.

36.1 million redundancy pay in ten years

However, a major change has been brought about in recent years. “From the overview it can be deduced that although there are still benefit recipients with a longer benefit period, most receive benefits of no later than the current maximum of three years and two months or less”, the minister writes.

Of 340 MPs who were entitled to redundancy pay between 2010 and 2020, 191 already fall under the current maximum of 3 years and two months.

In total, the 340 MPs who were entitled to redundancy pay from 2010 to 2020 received more than 36.1 million euros. On average, ex-MPs used the scheme for an amount of 106,000 euros.

Almost always entitled to benefits

Almost every member of Parliament who has decided to leave will make use of the scheme to a greater or lesser extent. Because even if you do find another job where you earn less, your income will be supplemented to 70 percent of the salary you had as a Member of Parliament, as long as you are entitled to redundancy pay.

Tags

Related Articles

Back to top button
Close
Close