The Spanish government and unions UGT and CSIF have reached an agreement to raise salaries for 3.5 million public employees by 11% from 2025 to 2028. This increase, including a variable component tied to inflation, aims to recover lost purchasing power. CCOO has not yet signed but is expected to decide soon.
After negotiations starting on November 5, 2025, the Spanish government and unions UGT and CSIF finalized a multi-year salary deal on Wednesday. The 11% cumulative increase will be phased: 2.5% retroactive for 2025 from January 1, payable in December payrolls; 1.5% fixed plus 0.5% variable in 2026 if IPC equals or exceeds 1.5%, paid retroactively in Q1 2027; 4.5% in 2027 (adjustable); and 2% in 2028. With drag effects on complements, the effective rise reaches 11.4%, recovering 2.9% purchasing power, per CSIF.
The deal, costing about 22 billion euros, resolves tensions after union mobilizations and strike threats. UGT approved it last Friday, while CSIF joined after over four hours of talks. CCOO, internally divided, delays signing until Thursday. The key was conceding the 0.5% variable to overcome the initial 4% cap for 2025-2026.
Beyond salaries, the pact eliminates the replacement rate for job offers, shortens selection processes to one year, generalizes the 35-hour week, and regulates telework in the General State Administration. Residence and insularity complements will be reviewed in 2026, public-facing staff reinforced, and improvements made to permissions, work-life balance, and measures against gender violence. On retirement, partial retirements will be advanced and voluntary extension to age 72, pending legislation.
"It is the best possible agreement under current political circumstances," CSIF stated, noting labor improvements despite budget blocks. UGT's Isabel Araque called it a "great agreement" enhancing public service quality. A Monitoring Commission will form within 15 days to oversee compliance.
