After several months of negotiations, in autumn 2024 the government reached an agreement with trade unions on a new payment model for public employees. The payment model is articulated through the Act on Common Fundamentals of the Public Sector Wage System and through sector-specific labour collective agreements. The new payment model aims to increase transparency of the public sector wage system, to enhance flexibility in rewarding public employees, and to make the system more attractive to young people. The new payment model will come into effect progressively, with the first portion of the agreed wage increase coming into effect in January 2025 and the last one in January 2028.
Healthcare workers employed at public hospitals, community healthcare centres, and other public providers are considered public employees and are therefore also affected by the law. The salary rises are expected to increase the costs of healthcare services. The impact on employment and retention of healthcare workers in the public sector remains to be seen.
Meanwhile, the doctor’s strike, which began in January 2024, continues. FIDES, the doctors’ and dentists’ trade union, did not participate in the collective negotiations of other trade unions with the government, as they considered their requests to concern a separate set of issues. Despite the wage increases that began in 2025 affecting doctors as well, FIDES felt that the agreements related to the new payment model do not sufficiently address their requests.