Politics · Australia · 16 hrs ago
Australian government offers public servants a 9% pay rise over three years
Australia’s federal government has offered public servants a 9% pay rise over three years.
The proposed increases are 3.2% from March 2027, then 3% and 2.8% in the following years.
The largest public-service union wants a 15% increase and says the offer does not meet its members’ expectations.
The government says its proposal is fair and affordable, and includes extra increases for some workers in lower-paying agencies.
Public servants have said they plan to vote down the offer, which is still a preliminary position in wider pay and conditions talks.
One union may ask the Fair Work Commission to set the increase if the government does not improve its proposal, while ruling out industrial action.
Negotiations between the government and unions are continuing.
The Australian government has proposed a 9 per cent pay rise for federal public servants over three years.
The offer provides rises of 3.2 per cent in the first year from March 2027, 3 per cent in the second year and 2.8 per cent in 2029.
The Community and Public Sector Union wants a 15 per cent increase, and public servants have said they will vote down the offer.
Finance Minister Katy Gallagher said the proposal was fair and affordable, while union representatives said it did not meet their pay claims.
The proposal also includes changes to salary advancement increments and additional increases of up to 1.5 per cent for some employees in lower-paying agencies.
- Who
- The Australian government has made the offer to federal public servants. Unions representing public servants have challenged it.
- What
- A proposed 9 per cent pay rise over three years, with changes to salary advancement increments.
- When
- The government proposed the offer on Tuesday. The first rise would start in March 2027.
- Where
- Australia’s federal public service.
- Why
- The government says the offer would provide fairer and more consistent pay and conditions. The CPSU says members want pay that keeps up with the cost of living and recognises their work.
Australian government
Public service unions
Pay offer
Australian government
The government says the proposed 9 per cent rise over three years is fair and affordable.
Public service unions
The CPSU wants a 15 per cent increase and says the offer does not meet members’ claims.
Next steps
Australian government
The government says bargaining is continuing and the proposed terms are preliminary, not agreed outcomes.
Public service unions
Public servants have said they will vote down the offer; the ASU may ask the Fair Work Commission to determine the rise if the government does not make a realistic offer.
Chief negotiator Alison Stott has been meeting with union representatives.
The government proposed a 9 per cent pay rise over three years.
The first proposed annual pay rise of 3.2 per cent would begin.
The third proposed annual pay rise would be 2.8 per cent.
- Total proposed rise
- 9 per cent over three years
- First-year rise
- 3.2 per cent from March 2027
- Second-year rise
- 3 per cent
- Third-year rise
- 2.8 per cent in 2029
- CPSU demand
- 15 per cent pay increase
- Additional increases
- Up to 1.5 per cent for some employees in lower-paying agencies
1 source
What people are saying
In a constrained fiscal environment, this is a fair and affordable offer that provides pay rises totalling nine per cent over three years, with additional increases of up to 1.5 per cent for some employees in lower paying agencies.
CPSU members have been clear from the beginning of these negotiations: they want to see pay that keeps up with the cost of living, which recognises the essential work they do every day,
This is a pay offer that holds ATO employees in contempt,
This pay is part of an overall package of conditions. These are preliminary positions within this package, not agreed outcomes,