
Cyprus could be heading for a fresh round of labor unrest in 2026, as unions and employers brace for new clashes over wages, pensions and workers’ rights, despite the government having closed the minimum monthly wage issue just weeks ago.
Trade unions warn that labor peace is once again at risk unless President Nikos Christodoulides moves quickly on a list of unresolved issues they say have been promised but not delivered. At the same time, employers are pushing back hard, saying reopening settled agreements would throw labor relations into chaos.
The warning signs are already there: Unions SEK, PEO and DEOK have sent a joint memorandum to the president, calling for immediate decisions on four major issues: setting an hourly minimum wage, expanding collective agreements to cover 80% of workers as encouraged by an EU directive, revising the employment strategy for third-country nationals, and finally rolling out the long-delayed Ergani 2 labor monitoring system.
Pension reform, postponed in 2025, is also returning to the table, with the government aiming to secure the sustainability of the Social Insurance Fund and improve pensions, particularly for low-income retirees.