Government and Unite agree increase in minimum entry salary for Public Service staff

The Government and Unite the Union have agreed an enhanced minimum entry salary of £24,413 per annum for Public Service staff, backdated to 1 April 2025.

The agreement increases the previous minimum entry salary of £22,874 and means eligible employees will receive back-pay for the relevant period.

The Chief Minister says this relates to an entry level pay claim, which the union and the government have been negotiating for some time.

Fabian Picardo told Christine Vasquez it affects around 800 people and will cost around half a million pounds.

In a joint statement, the Government and Unite says the agreement was reached with input from the Public Sector Pay Working Group. They say it reflects a shared commitment to ensuring that entry-level Public Service salaries remain fair, sustainable and responsive to the economic pressures faced by workers at the most junior grades.

The increase will apply retrospectively from 1 April 2025. Eligible employees will receive backpay reflecting the increase. The calculation will also take account of the general public sector pay increase applied from 1 August 2025, so that employees receive the correct adjustment for each relevant period.

Unite played a central role in securing this outcome, having renewed its case for an enhancement to entry-level pay through the Public Sector Pay Working Group. Government and Unite have

welcomed the agreement as a practical example of constructive collective bargaining delivering a tangible benefit for lower-paid public sector workers.

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Unite the Union National Officer, Stuart Davies, says:

“Unite welcomes this agreement, which delivers a clear and practical benefit for lower-paid public sector workers. Raising the minimum entry salary to £24,413, with backpay from 1 April 2025, is an important step in improving entry- level pay in the Gibraltar Public Service.  Unite has consistently made the case for better support for workers at the lower end of the pay scale, who are often most exposed to cost-of-living pressures. We are pleased that constructive engagement with Government has resulted in a tangible outcome for our members.

The Chief Minister, Fabian Picardo, says:

“This agreement delivers a real and tangible improvement for the lowest-paid employees entering the Gibraltar Public Service. The increase from £22,874 to £24,413 represents a 6.73% uplift in the minimum entry salary and will make a meaningful difference to those workers and families who are often least able to absorb rising costs. At a time when global events beyond our control — including ongoing conflicts in Ukraine and the Middle East — continue to create economic uncertainty and inflationary pressures that can affect the cost of living, it is right that we provide additional support to those on the lowest salaries. This increase is also part of a wider and sustained effort to improve pay at the lower end of the Public Service. Since 2020, the minimum entry salary has increased by 27.69%, demonstrating this Government's commitment to ensuring that public sector pay remains fair, competitive and responsive to the challenges faced by working people.

I want to thank Unite for the constructive way in which they have engaged with Government through the Public Sector Pay Working Group. This agreement is a positive example of what can be achieved when Government and unions work together responsibly, practically and in good faith.

There is more work to do, but this agreement shows that the process is delivering meaningful outcomes for public sector employees and helping to ensure that those with the smallest shoulders are not left to bear the greatest burden of economic pressures. This agreement demonstrates the value of meaningful collective bargaining delivering positive results.

The Government and Unite have welcomed the agreement as a positive outcome for lower-paid public sector workers and a clear example of the Public Sector Pay Working Group delivering practical results. Both parties look forward to continuing their engagement on matters affecting public sector employees and the delivery of high-quality public services across Gibraltar."