Late-night breakthrough reached at public sector pay talks

An agreement today would see strike planned for Thursday cancelled

A breakthrough in talks on a new public sector pay deal could clear the way for an agreement. Photograph: Bryan O’Brien/The Irish Times
A breakthrough in talks on a new public sector pay deal could clear the way for an agreement. Photograph: Bryan O’Brien/The Irish Times

Good morning.

There was a breakthrough late on Monday night in the talks on a new public sector pay deal, clearing the way for a new pay agreement and the cancellation of this week’s planned public sector strike.

The talks had reached the 11th hour with no agreement but it seems the Government’s improved pay offer over the weekend was enough to convince the unions that a deal was now possible and the negotiations will continue at the Workplace Relations Commission today to complete the deal.

If that happens, a cancellation of the strike planned for Thursday would follow.

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Report is here.

There had been optimism on the Government side that a revised and improved pay offer of a cumulative 11 per cent increase and more for low-paid public sector workers would be accepted by the unions.

“The mood music is better,” said one person close to the talks on the Government side on Monday night, speaking anonymously to discuss sensitive issues.

Union sources were non-committal, however, saying the offer fell short of their expectations and that preparations for Thursday’s strike, including school closures and the cancellation of thousands of hospital appointments, were continuing.

Just after midnight, however, came word that a breakthrough had been reached.

While some outstanding matters remain between the two sides, including on non-pay issues, it is expected that the talks could conclude with an agreement later on Tuesday.

The news was too late for the print edition, which led with news of the Garda Representative Association’s decision to stand down its work-to-rule action.

The deal on offer for the unions is not insubstantial – 11 per cent cumulatively up to the first half of 2029, though exactly when is not yet clear, with bigger uplifts of up to 18 per cent for lower-paid workers. It also incorporates local bargaining commitments. The total cost is estimated at more than €5 billion.

Union chiefs now have to put any deal agreed to their memberships who will vote whether to accept it or not – something that is not a foregone conclusion. That process will take several weeks.

Eoin Burke Kennedy has a jog through the numbers and compares them to the private sector

Road closures and restrictions in Dublin

Security preparations begin to kick in for the big presidency meetings on Thursday and Friday with road closures and restrictions beginning this morning.

And with more than 50 heads of state or government coming in for Thursday’s summit of the European Political Community, and all the EU leaders waiting on for Friday’s EU summit, there’s going to be a lot of motorcading around the place. Katie Mellet has a useful guide here.

A no-fly zone is also being extended.

More on Harris’s speech

Simon Harris’s weekend ardfheis speech continues to be hotly debated. Here’s our In the News podcast doing the same.

Climate plan delayed, rise in home supports

Cormac McQuinn previews Tuesday morning’s Cabinet meeting, including plans for the Government’s delayed Climate Action Plan for 2026 to be discussed by Ministers before it proceeds through environmental assessment screening processes.

Once these processes are complete it is due to go back to Government for approval and publication before the end of the year. Just to confirm, yes, the plan for this year is being presented in, er, November.

Minister for Housing James Browne is to update colleagues of a 57 per cent increase in starter home supports delivered in the first half of 2026 compared to the same period in 2025, amid some recent optimism in Government circles about progress on housing.

Almost 4,700 supports – including under the starter home purchase and first home schemes, cost rental homes, and the vacant property refurbishment grant – were delivered in the first six months of the year.

Cormac’s piece is here.

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Playbook

The Cabinet meets at Government Buildings and then there’ll be the usual round of Opposition doorsteps at Leinster House before the week’s Dáil business begins with Leaders’ Questions at 2pm.

The Social Welfare Bill (giving effect to many of the budgetary changes) is in for three-and-a-half hours at 4pm, and Sinn Féin has a Private Members’ motion on toll charges and the cost of living.

In the Seanad, Government legislation on Slapps – strategic lawsuits against public participation, issued to prevent media scrutiny of powerful people – is up for second stage debate. Not that anyone in Irish politics would ever contemplate such a thing.

There’s a busy schedule of committee meetings, including an interesting-looking encounter at the Committee on Budgetary Oversight, where witnesses from the Department of Health and the HSE will be questioned on budget forecasting, spending overruns and the “impact on the overall budgetary position”.

Full schedule for the day in Leinster House is here.

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