Judgment in the case on the cut of judges’ remuneration and the minimum amount of their wage has been announced
Today, on 22 June, the Constitutional Court announced a judgment in the case No. 2009‑111‑01 “On Compliance of the Second Sentence of Para 7, the Second Sentence of Para 20 (wording of 16 June 2009), and the Third Sentence of Para 20 of the Transitional Provisions of the Law “On Judicial Power” with Article 1, Article 83 and Article 107 of the Satversme of the Republic of Latvia”.
The cut of judges’ remuneration by 15 percent (from 1 June 2009) and by 27 percent (from 1 January 2010), as well as restriction of the maximum amount of wage, namely, judge’s remuneration may not exceed that of the Prime Minister, was at issue in the present case.
The Constitutional Court concluded that at present remuneration of judges is not proportional; it does not comply with the principle of legal security, the principle of solidarity and the principle of separation of powers.
The Court, however, took into account the principle of justice that requires balancing interests of the society. Cancellation of the contested norms would substantially threaten stability of the budget and thus welfare of the entire society. The Court also established that elimination of infringements established in the present judgment requires time. Moreover, according to the judgment of 18 January 2010 in the case No. 2009-11-01, norms providing for freezing of judges’ wages; consequently the reduced amount shall be established based on the wage calculated in accordance with the coefficient established by law. Such terminable percental reduction shall be regarded as solitaire.
Therefore the Constitutional Court established that reduction of judges’ wage comply with the Satversme provided that, from 1 January 2011, the wage is calculated in accordance with Article 119.1 of the Law “On Judicial Power”, i.e. in accordance with the judgment of 18 January 2010 by the Constitutional Court.
Having assessed levelling of judges’ wage with that of the Prime Minister, the Court concluded that selection of candidates for the post of a Prime Minister, approval of a Prime Minister, his or her term of office and remuneration is a question of political choice; therefore it is admissible that establishment of remuneration amount for Prime Minister is free, without carrying out any assessment. However, establishment of remuneration of judges based merely on the political will of the legislator does not comply with the principle of separation of powers and the principle of independence of judiciary.
When assessing the restriction of the maximum amount of judges’ remuneration, the Court indicated among the rest things that in the result of such a norm an equal wage would be paid for different work accomplished, namely, judges of different qualifications and levels would receive the same amount of remuneration. Such a situation would infringe the principle of equality. Therefore the Constitutional Court ruled that the norm establishing the maximum amount of judges’ remuneration does not comply with Article 1 of the Satversme and shall be null and void as from 1 January 2011.
The Judgment of the Constitutional Court is final and not subject to appeal. The Judgment shall come into force on the date of its announcement.
Linked case: 2009-111-01