Public Sector

Government unlikely to up 8.5% public sector pay rise offer

No date set yet for resumption of talks on proposed increase described by unions as ‘unacceptable’

Paschal Donohoe, the Minister for Public Expenditure, said the offer was a “really serious attempt by the government to respond back to how we value and pay our public servants. Picture: Bloomberg

The government is unlikely to move much beyond its offer of an 8.5 per cent pay increase for public sector workers because of concerns it would heap more pressure on private businesses by setting an unrealistic and inflationary bar for wage increases.

Talks between the government and the main public sector unions were suspended just over a week ago, when unions rejected an offer of 8.5 per cent pay increases over the next 2.5 years.