MADRID Spain’s king and crown prince are taking pay cuts as part of the latest round of austerity measures meted out by the country’s government as it attempts to control its deficit during a recession, the Royal Palace said Tuesday. (Source: persianrealm.com)
The salaries of King Juan Carlos and Crown Prince Felipe will be reduced about 7 percent — to about €272,000 ($334,000) and €131,000 ($160,000) respectively — in line with the new austerity package, the Royal Palace said.
The royal family itself has about €8.3 million budgeted for it this year, down 2 percent from 2011. Queen Sofia and Princess Letizia, Felipe’s wife, don’t get salaries but saw their expenses cut. Palace officials did not provide details, and the royal family budget cuts came a year after 2011 reductions of 5 percent overall with palace employees including the king seeing their salaries cut up to 15 percent.
The king and prince acted voluntarily this year in cutting their salaries, the Royal Palace said. The announcement came as the Spanish royal family’s public profile has taken a battering over the past year, and just as Spain’s economy entered its second recession in three years and unemployment rose to nearly 25 percent, the highest in the eurozone.
Austerity bites deeper in Spain (Euronews):
Spain’s government has announced further deep budget cuts for this year in its increasingly unpopular austerity drive, one day after an anti-austerity general strike paralysed Spain. All ministries will have their spending slashed by just under 17 percent. (March 30th, 2012)
Wage Cut Protest in Spain (AP, July 13th 2012):
Spanish civil servants took to the streets Friday in angry protest as the government approved new sweeping austerity measures that include wage cuts and tax increases. (July 13)