Transitional salariesHow ex-ministers are paid before returning to parliament

RTL Lëtzebuerg
adapted for RTL Today
The return of two former ministers to parliament this week has brought Luxembourg's "transitional salary" system into focus, a financial bridge that can pay out tens of thousands of euros during periods between high-level mandates.
© Chamber of Deputies on Flickr

As two former ministers were sworn in as new MPs on Tuesday, attention has turned to the financial support one of them received in the interim period between their government role and parliamentary mandate.

The two incoming MPs are Marc Hansen of the Democratic Party (DP), who replaces the retired Fernand Etgen, and Georges Mischo of the Christian Social People’s Party (CSV), who takes the seat of his successor as Labour Minister, Marc Spautz. Their return to politics follows a period of inactivity in public office, during which they were eligible for a government-financed transitional salary.

How the “transitional salary” works

Former ministers in Luxembourg are entitled to a “traitement d’attente” (transitional salary) for up to two years after leaving office. For the first three months, they receive their full ministerial salary – minus representation allowances – amounting to approximately €19,600 per month.

Following this initial quarter, the payment is adjusted to around €8,560 per month under the current points system. This support continues unless the former minister accepts certain types of employment. The salary is suspended if they take a paid position with the state, a municipality, or another national or international institution. It is also forfeited if they enter the private sector and earn more than double the transitional amount – that is, at least €17,120 per month.

Mischo: New mandate forfeits transitional salary

Georges Mischo resigned as Minister of Labour and Sports in December. Having drawn his full ministerial salary last month, he is now ineligible for the ministerial transitional salary after accepting a parliamentary mandate. Instead, he will receive an MP’s monthly salary of €9,100, excluding attendance fees. Due to his prior 20-year career as a secondary school sports teacher, he also qualifies for the separate transitional salary available to civil servants who enter parliament. That allowance amounts to 66% of his former gross teacher salary.

Hansen: Received approximately €238,000 over two years

Marc Hansen served as a minister for 10 years until October 2023 and has not held any political office for the past two years following recent elections. During this interval, he received the ministerial transitional salary outlined previously. A rough estimate places the total amount at approximately €238,000 over the two-year period. According to his own statements, he did not take on any paid employment during this time in order to avoid potential conflicts of interest.

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