Impact of pay freezes on public sector pay

France France

A series of pay freezes have seen civil servants' salaries eroded by inflation since 2010. Pay is based on an index figure which was frozen between 2010 and 2016 and increased by only 0.6% in both 2016 and 2017 but frozen again this year. This means a loss of purchasing power of 6.79%. This translates into a monthly loss of pay of anything between EUR 117 and EUR 404 a month depending on the job. Increases in pensions contributions have meant a further cut in take-home pay. This is a longer term problem for civil servants as increases in the index point fell behind inflation in the period 2000 to 2010, meaning that the total loss of purchasing power over the past 18 years is 16.5%.


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