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PASYDY Congress Highlights Public Sector Reform, Pension Overhaul, and Labour Rights

Nicosia: The need to preserve fiscal stability, modernize the public service, and advance pension reform was at the center of the opening session of PASYDY's 63rd Congress, held on Monday at the union's amphitheater 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.

According to Cyprus News Agency, 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 modernization of the public service. Keravnos highlighted the public service's effective response during critical moments in Cyprus' history and its current role during the country's Presidency of the Council of the European Union, as well as in emergencies such as wildfires and the foot-and-mouth disease outbreak.

He emphasized the need to reduce bureaucracy and administrative burdens, noting that competitiveness 'passes through digital transition, reforms, and simplification of procedures.' He outlined 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 mentioned ongoing efforts to improve recruitment procedures in the public sector and announced government proposals for rationalizing the state payroll and containing its growth rate, assuring that consultations with social partners would occur before any decisions.

PASYDY Secretary General Stratis Matthaiou stated that the union, marking 99 years of continuous presence this year, remains committed to protecting employees' rights and improving services to citizens. While acknowledging the challenging economic environment and rising cost of living, Matthaiou declared that PASYDY would resist any attempts to undermine public servants' rights. He reiterated the union's involvement in agreements on CoLA and tax reform, as well as its support for teleworking and flexible employment arrangements as part of the state's broader modernization.

Labour Minister Marinos Mousiouttas centered his address on pension reform, describing it as 'one of the most complex and important projects' for the government. He stated that the goal is to create 'a fair, sustainable and socially acceptable reform' to ensure adequate pensions for current and future generations.

PASYDY President Antonis Koutsoullis emphasized 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.