PSA members voted to accept the State Government’s three-year Salaries offer.

Seventy-eight per cent of respondents to the union’s Salaries Survey accepted the Government’s offer. Following that, the PSA notified the Government that it accepted the offer and moved to have the new rates formalised so members received the increase as soon as possible.

The State Government’s offer gave Public Sector workers a compounded increase of 11.4 per cent over the three years to 2026-27.

The offer was a 4 per cent 2024-2025 increase in salaries, plus a 0.5 per cent superannuation boost. Then there will be a 3 per cent 2025-2026 increase in salaries plus 0.5 per cent superannuation. In the last year of the deal, there will be a 3 per cent 2026-2027 increase in salaries.

This offer will be backdated to the first full pay period on or after 1 July 2024.

The offer includes a safeguard mechanism to protect wage-earners if the Sydney Consumer Price Index exceeds 3.5 per cent in the March quarter in the second or third year of the deal. If this is the case, there will be negotiations for a one-off, non-cumulative, cost-of-living allowance.

In addition, if the Sydney Consumer Price Index exceeds 4 per cent in the March quarter in the second or third year, members will receive a $1000 taxable, one-off, non-cumulative cost-of-living adjustment payment, plus superannuation.

As part of the offer, the PSA will negotiate changes to the Managing Excess Employees policy to bring it into line with the new Workforce Mobility Placement policy implemented late last year. This has seen great improvements in the retention of public servants affected by workplace change.

“This is a great win for our members,” said the union’s General Secretary Stewart Little. “For too long we languished under an unfair wage cap. We campaigned to vote the party that supported retaining the cap out and now have a deal that means members can keep up with the cost of living.”