Dublin: The Irish Congress of Trade Unions (ICTU) has called for pay increases of up to 6% next year to reflect ongoing inflationary and cost-of-living pressures. The organisation has advised private sector unions to seek pay rises in the range of 4.7% to 6% during wage negotiations.
ICTU noted that consumer prices have risen by 18.9% over the past four years, significantly eroding household purchasing power. Inflation stood at 3.2% in November, up from 2.9% in October 2025, further worsening the financial position of millions of workers.
The organisation said unions have little choice but to factor these pressures into negotiations for 2026. ICTU also criticised the Government’s decision to allocate €700 million in support to the hospitality sector, arguing that greater priority should have been given to tax relief for workers.
In addition to pay increases, ICTU recommended that unions pursue a broader range of benefits for employees, depending on business profitability and competitiveness. These include higher starting salaries for new entrants, guaranteed weekly working hours, reduced working time, additional annual leave, enhanced sick pay, and improved pension provision.
The guidance was issued unanimously in collaboration with the ICTU Private Sector Committee. General Secretary Owen Reedy said that, in a period of full employment and strong economic performance, it is vital for workers to protect and improve their living standards through collective bargaining.
The Financial Services Union (FSU) strongly endorsed the call. FSU General Secretary John O’Connell said workers on low pay, in particular, deserve wage increases that exceed inflation to ensure a fair standard of living.
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