Public sector deals ensure real pay rises

Denmark

Public sector workers will be covered by two new three-year agreements running from 1 April to the end of March 2024. The agreements covering municipal and state sector workers both have an overall value of 6.75% of the pay bill over the three years but the amounts are distributed differently. In the municipal agreement there will be a 5.02% general increase but there will be additional amounts allocated to address low pay, equal pay, recruitment and organisational issues, taking the overall increase to 5.94%. In the state sector there will be a 4.42% pay rise over the three years, with increases in six instalments in April and October of each year. Both agreements are covered by a pay formula that keeps pay increases in line with those in the private sector. In the case of the state sector this should mean an extra 0.63% over the course of the agreement. Both agreements include measures to tackle mental health at the workplace and initiatives to promote sustainability. Both agreements also include proposals to help retain older workers and in the case of the state sector this will mean specifically a 0.8% pay addition from the age of 62 that can be converted to two extra days of leave. The municipal agreement provides for further negotiations on how to give full-time, permanent employment the priority in the fact of an increase in temporary, part-time and hourly paid employment.

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