The need to preserve fiscal stability, modernise the public service and advance pension reform was at the centre of the opening session of PASYDY’s 63rd Congress, held on Monday at the union’s amphitheatre in Nicosia.
Addressing the congress, Finance Minister Makis Keravnos, Labour Minister Marinos Moushouttas, PASYDY Secretary General Stratis Matthaiou and PASYDY President Antonis Koutsoullis stressed the importance of social dialogue, public sector reform and safeguarding workers’ rights amid ongoing geopolitical and economic challenges.
Finance Minister Makis Keravnos praised PASYDY’s ‘seriousness and responsibility’ as a social partner, saying the government highly values the union’s contribution to the modernisation of the public service.
Keravnos said the public service had consistently responded effectively during critical moments in Cyprus’ history and continued to do so during the country’s current Presidency of the Council of the European Union, as well as in addressing emergencies such as wildfires and the recent foot-and-mouth disease outbreak.
He stressed the need to reduce bureaucracy and administrative burdens, noting that competitiveness ‘passes through digital transition, reforms and simplification of procedures.’ He referred to measures already implemented, including salary agreements, the restoration of the Cost of Living Allowance (COLA), tax reform, flexible working arrangements, teleworking and the expansion of digital services through the ‘Digital Citizen’ platform.
The Finance Minister also referred to ongoing efforts to improve recruitment procedures in the public sector and announced that the government is preparing proposals for the ‘rationalisation of the state payroll and containment of its growth rate,’ while assuring that consultations with social partners would precede any decisions.
PASYDY Secretary General Stratis Matthaiou said the union, which marks 99 years of continuous presence this year, remains committed both to protecting employees’ rights and improving services to citizens.
While acknowledging the difficult economic environment and rising cost of living, Matthaiou stressed that PASYDY would not accept any attempt to undermine public servants’ rights. ‘We will not tolerate these developments being used as a pretext for intervention or alteration of workers’ rights and benefits in the public service,’ he said.
He also highlighted the union’s role in agreements on CoLA and tax reform, as well as its support for teleworking and flexible employment arrangements as part of the broader modernisation of the state.
Labour Minister Marinos Mousiouttas focused on pension reform, describing it as ‘one of the most complex and important projects’ of the government. He said the aim is to create ‘a fair, sustainable and socially acceptable reform’ that guarantees adequate pensions for current and future generations.
PASYDY President Antonis Koutsoullis underlined the historic contribution of the public service to the Republic of Cyprus, particularly after 1974, during the country’s accession to the European Union and in successive EU Presidencies.