Despite significant budget deficits in Germany leading to reductions in public services and imposing higher taxes on farmers, the German government has awarded themselves and the growing class of civil servants substantial pay hikes. These raises are the most significant in several decades, adding an additional burden of €979 million annually on German taxpayers.

Starting in March, government officials will enjoy these higher salaries. For instance, the country's president's monthly earnings will jump to €23,003 from €21,625, marking a 6.37% increase.

Similarly, Chancellor Olaf Scholz is set to receive a salary boost, with his pay climbing to €22,083 from €20,702, Remix News reports.

Ministers are set to receive a 7% salary increase, with their pay going up to €17,990 from €16,816, and this will also lead to higher pensions as pension amounts are directly tied to civil servants' earnings.

A government member who has served for four years will have a pension entitlement of 27.74% of their salary. For instance, Scholz's monthly pension will increase to €6,117 from €5,734, surpassing the typical earnings and pension benefits of most Germans after a lifetime of employment.

From the first of March, a senior civil servant will see a monthly salary boost of €298, an increase of 10.73%. Similarly, a senior figure in the education sector, like a secondary school principal, will receive an additional €458 per month.

The government has finalized the decision on pay raises, which will result in an additional expenditure of €979 million for both active and retired civil servants.