The numbers are staggering: €117.79 billion to NFPOs and €64.39 billion to NGOs between 2014-2023. Yet behind these impressive figures lies a troubling reality: 60-80% of these funds go to personnel costs that remain hidden from public scrutiny.
The mathematics of opacity
The elegant fiction of project reports hides a systemic issue. When HR costs represent up to 80% of project budgets, how can we accept that:
- No public access exists to compensation systems;
- No standardized pay grade requirements are in place;
- No unified salary frameworks guide spending;
- No benchmarking requirements exist.
The systemic gap
This isn’t about individual organizations – it’s about a system that enables opacity. While equipment purchases undergo rigorous verification, personnel costs – the largest expense in most EU-funded projects – remain shrouded in mystery. This is not coincidental – it’s systemic.
The cost of hidden numbers
The consequences reach far beyond spreadsheets. When HR costs lack transparency:
- Public accountability disappears;
- Fair compensation becomes impossible to verify;
- Exploitation finds fertile ground;
- EU funding effectiveness cannot be measured.
The solution is simple
The European Commission must mandate public pay transparency for all EU-funded organizations. When 60-80% of project budgets go to personnel costs, these expenses cannot remain hidden. Transparency in HR costs must become a funding requirement. Because sometimes the most powerful force for change isn’t an institution or a policy – it’s simply bringing numbers into the light.
The time for transparency is now.
The solutions are ready
The path to transparency doesn’t require new policies – just practical implementation of existing frameworks. Here’s how we can transform EU funding oversight immediately:
Whistleblower empowerment framework
The Workplace Accountability Map is just the beginning. Together, we can develop:
- Clear reporting channels that protect employee identities;
- Documentation guidelines that strengthen evidence collection;
- Step-by-step procedures for reporting irregularities;
- Protection mechanisms within existing legal frameworks.
Organizational Accountability system
Making HR costs traceable requires standardized systems that can be implemented immediately:
- Transparent salary frameworks for EU-funded positions;
- Clear documentation requirements for freelance arrangements;
- Standardized templates for reporting personnel costs;
- Regular verification mechanisms for reported hours.
Having documented how organizations currently bypass transparency requirements, we can help develop systems that close these gaps while maintaining operational efficiency.
