Victorian politicians are expected to give themselves generous pay rises under legislation introduced to the Parliament.

New MPs will also get a better superannuation deal under big changes to parliamentary salaries and allowances.

The bipartisan legislation proposes increasing backbenchers' wages by eight per cent and a 15 per cent increase for shadow ministers and the Opposition leader.

Ministers and the Premier would get a 2.5 per cent pay rise.

The budget for the Opposition leader would also increase by $500,000 a year, to $2 million.

Superannuation for MPs who enter the Parliament after 2004 would increase from nine per cent to 15 per cent, in line with federal arrangements.

In exchange for the changes, MPs would lose some allowances, including free parking at the airport and free interstate rail travel.

The base salary for a state MP is $137,000.

Assistant Treasurer Gordon Rich-Phillips will not say how much the new deal will cost taxpayers, but concedes it will not be popular.

"The reality is any change to Members of Parliament remuneration, salaries, is never going to be well received in the community," he said.

"This decouples our salaries from those of the federal MPs, the federal MPs last year received a $50,000-odd increase."

The Government says state MPs' salaries will have to fall in line with higher federal rates if the pay rises are not awarded.

Deputy Liberal leader Louise Asher says it is a fair deal.

"We believe that this legislation sets a reasonable path ahead for fair remuneration of the representatives of the Victorian people, while removing some privileges which are no longer justifiable," she said.

"It also provides a formula for the future, which takes these decisions out of the hands of members themselves."

Steve McGhie from the Ambulance Employees Association says there is a big contrast between the proposal and the pay offer to his members.

"It's clearly disappointing that politicians would award themselves much higher wage increases than other public sector employees, including the members that I represent," he said.

"Paramedics and ambulance employees around the state, and of course emergency call-takers and dispatchers, they're only entitled to 2.5 per cent."

Peter Marshall from the United Firefighters Union says the proposed pay rises are a disgrace.

"We're seeing cuts to TAFE. We're seeing cuts to emergency services, and here we have our politicians, the very people who are doing this, awarding themselves a pay increase of an extraordinary amount," he said.

"What's the rationale behind this? And how do they justify it with the cuts in the public service that we've seen?"

The bill will return to the Parliament in two weeks.