Public sector pay talks: Unions and Government agree deal for 10.25% pay rise 

The Agreement runs for two and a half years and the total cost amounts to €3.6bn spread over four Budget years — 2024, 2025, 2026 and 2027.

Public servants will receive a 10.25% pay rise over two-and-a-half-years after an agreement was struck between unions and the Government.

Public Expenditure Minister Paschal Donohoe has welcomed the proposed public pay agreement reached at the Workplace Relations Commission (WRC). It will see a local bargaining mechanism of 1% added to 9.25% pay increases.

The agreement runs for two and a half years and the total cost amounts to €3.6bn spread over four Budget years — 2024, 2025, 2026 and 2027.

The Agreement also provides for a Local Bargaining process. This mechanism will provide an avenue by which employers and grades, groups and categories of public servants can address issues involving changes in structures, work practices or other conditions. Those on the lowest incomes will receive up to 17.3% over the lifetime of the agreement.

Public servants will see pay rises of 2.25% or €1,125, whichever is greater, from January 1 this year with another 1% on June 1 and another 1% on October 1. This will be followed by 2% in March next year, 1% in August 2025 and 1% in each of February and June 2026.

Mr Donohoe said he "recognises that the commitment, flexibility and agility of our highly skilled public servants is fundamental to the delivery of quality public services".

"I believe that this agreement will provide certainty and stability for public servants as well as the Government and public service users over the coming years," he said. 

“I have always been clear that I wanted to reach an agreement that was both affordable and fair and I believe both of these objectives have been achieved.

“Continued reform of our public services remains a key priority for Government and this is reflected in the agreement, which builds on the achievements that have been made in every facet of the public service in recent years. I acknowledge the positive engagement by the unions and staff associations in this regard.

“I will now take this proposed agreement to Government for approval and I hope the proposals will be endorsed by public service unions and associations in the ballots that will follow," Mr Donohoe added.