The total cost of the unions’ demands regarding the Hourly-Paid Government Employees (OKP) for the three-year term of the contract amounts to €50 million, according to a statement from the Ministry of Finance, which called on the unions to reconsider their decision to strike this coming Thursday and to return immediately to the negotiating table.
Furthermore, the Ministry, listing the improvements to the OKP’s employment terms in recent years, states that the claim that the government has not addressed the needs of lower-wage earners is unfounded, noting that only 68 of the 65,000 hourly-wage workers are paid the minimum wage.
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In its announcement, the Ministry of Finance “expresses its regret and disappointment at the decision by the unions of Hourly-Paid Government Employees (OKP) to go on strike on September 17,” noting that this decision comes despite the five working-level meetings that have already taken place, at the level of the Department of Public Administration and Personnel and the Director General, as well as the two sessions of the Joint Labor Committee (JLC).
As it states, the government has responded positively to the vast majority of the unions’ demands, with the exception of those concerning wage increases outside the established procedure, which are being examined in accordance with the practice followed under the relevant Framework Agreements.
According to the Ministry, the main point of disagreement concerns the demand for a general 8% increase exclusively for the OKP. “This demand cannot be considered in isolation, because whatever applies to the 6,500 hourly-wage workers in the OKP will, in practice, also need to apply to the remaining categories of personnel in the public and broader public sectors.”
Specifically, the Ministry of Finance states that the total cost of the unions’ demands amounts to €50 million for the three-year term of the contract (€23 million annually starting in 2027, of which approximately €17 million per year starting in 2027 relates to the 8% across-the-board increase).
However, if extended to all categories of personnel, the actual cost of the general wage increase exceeds €300 million per year for the public sector alone, he notes, “a fact that is beyond the state’s financial capabilities and poses a major challenge for private-sector taxpayers,” the statement points out.
It adds that it is standard practice for wage increases to be agreed upon through a Framework Agreement between the Minister of Finance and all labor unions, rather than piecemeal for a single category of employees, as has been the practice until now.
A total of approximately 11,000 hourly-wage workers are participating in the strike. Of these, 6,500 belong to the OKP, and the remaining 5,500 work for OKYPY and the School Boards, outside the state pay scale.
The Ministry points out that it would be “irresponsible” if a strike were to be a general strike without provisions for emergency personnel in critical services, since, as it notes, in sectors such as hospitals, forest firefighting, water supply, prisons, and telecommunications, a minimum level of service must be ensured for public health and safety, even during a strike.
“The Christodoulides government is managing the economy’s surpluses responsibly, supporting low-wage earners without jeopardizing the fiscal stability that has kept Cyprus afloat during a difficult period. In recent years, injustices have been rectified, demands have been met, and significant improvements have been granted that recognize the contribution of workers,” the Ministry notes.
It calls on the unions to reconsider their decision, to ensure that emergency needs are met during the strike, and to return immediately to the negotiating table, in good faith and with a sense of responsibility toward all citizens.
According to the announcement, the government has already significantly improved the employment conditions of the OKP. For example, effective January 1, 2025, the combination of pay grades with the next higher grade (i.e., Grades E1-E2, Grades E2-E3) has been extended as of January 1, 2025, to all pay scales for hourly-wage professions, with the exception of Scale E10, and all top pay grades of the OKP have been raised by two increments.
It should also be noted that, effective January 1, 2026, 702 forest fire fighters/fire lookouts and 237 firefighting workers were promoted from Class E6 to Classes E7–E8, following the earlier promotion of 250 seasonal and permanent lifeguards from Class E5 to Classes E7–E8. In the case of Forest Firefighters/Fire Watchers, new regulations were approved ensuring their inclusion in a shift work system under which they become eligible for the relevant shift allowances (amounting to 20% and 15%, depending on the work period), for a period of 10 months per year. It should also be noted that the staff in question are included among the 1,500 individuals who were employed on a seasonal basis under various types of fixed-term contracts lasting 6 – 8, and 10 months, and whose employment, effective January 1, 2019, their employment was converted to 12 months without interruption, thereby acquiring the status and benefits of permanent hourly-wage employees.
Furthermore, the Ministry refers to an increase, effective January 1, 2023, in the guaranteed provident fund rate from 14.5% to 15% for service beginning January 1, 2013, without increasing contributions for hourly-wage employees, to improve the OKP retirement benefits, increase starting salaries, and adjust other pay scales that were not previously affected, to maintain the balance among the OKP pay scales, due to the Minimum Wage Decree.
Specifically, it states that the salary of the 800 Office Cleaners (Grade E1) employed in the public service increased during the period 2020–2026 from €799 to €1,088 (after 6 months) to the starting point of the pay scale (a €289 increase), while the top of the scale, due to the merger of Class E1 with Class E2 effective January 1, 2025, increased from €1,253 to €1,729 (an increase of €476, or 38%).
In addition to the above, the Ministry also refers to the granting of a general 1.5% increase in the salaries of all public service personnel, including the OKP category, effective October 1, 2024, and to the agreement for the gradual restoration of the ATA from 50% to 100%, the provisions of which are also adopted for the OKP.
In addition, the announcement refers to hourly-wage staff of the School Boards, who, as noted, “the unions are including them in this phase,” and it is noted that, effective from the start of the current 2026–2027 school year, the request to reclassify 2,165 School Aides/ Attendants for Children with Special Needs from Grade E3 to Grade E5 of the OKP pay scales, which are also adopted for School Board staff.
It also notes that the wages of hourly-paid staff have increased by approximately 25% in recent years, through scale upgrades, increases in starting salaries, and the civil service pay increase system. According to the Ministry, the median wage at the OCP is currently €2,113, higher than the median wage in Cyprus (€1,968) and only 68 of the approximately 6,500 hourly-wage employees are paid the minimum wage. “As can be seen from the above, the claim that the Government has failed to address the lowest pay grades is unfounded,” the statement concludes.
