Cyprus government and unions reach tentative deal on hourly worker wages

Following weeks of tension, the Cyprus government and major trade unions—OEKDY SEK, PASYEK PEO, and DEE KDOKO DEOK—have reached a potential breakthrough regarding the wage structure for hourly paid state employees. On September 28, 2026, President Nikos Christodoulides presented a revised, improved offer during a 70-minute meeting at the Presidential Palace, attended by Finance Minister Makis Keravnos.

The negotiations, which had previously led to a 24-hour strike in mid-September, were aimed at addressing the stagnant wages of public sector workers. Earlier, on September 25, unions had met with Minister Keravnos to discuss initial proposals, which were deemed insufficient. The subsequent intervention by President Christodoulides provided a compromise that labor leaders described as satisfying enough to present to their collective bodies.

While union leaders, including those representing PEO and DEOK, have expressed optimism and noted the government's newfound willingness to acknowledge the necessity of salary increases, the formal acceptance of the deal is now in the hands of the workers. General assemblies of the affected employees are expected to be held in the coming week to finalize the decision. This agreement is expected to maintain labor peace in the public sector.