The ongoing discussions surrounding the cost-of-living allowance (CoLA) saw significant engagement last Friday, yet social partners could not finalise an agreement after more than six hours of negotiations at the ministry of labour.
Labour Minister Yiannis Panayiotou led the talks, joined by representatives from the finance ministry, trade unions, and employers’ organisations. Although no deal was established, the participants characterised the discussions as productive, noting that common ground had expanded.
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Minister Panayiotou highlighted that the mediation process contributed to shaping a framework of convergence, which could facilitate a permanent agreement in the near future. He acknowledged that some specific differences remain but described them as “very small in scale” and unlikely to impede a resolution.
“We expect that through the constructive approach shown so far, we will soon achieve the desired result,” Panayiotou stated. He clarified that while an agreement has not yet been reached, all crucial components of the CoLA framework had been thoroughly discussed and clarified.
Employer Perspectives on the Negotiations
Employer representatives expressed a cautious optimism regarding the talks. Michalis Antoniou, director-general of the employers and industrialists federation (OEV), described the negotiations as “productive and useful.” He indicated that OEV, along with the Cyprus chamber of commerce and industry (Keve), would convene a joint meeting on Tuesday to evaluate the situation further.
Insights from Union Leaders
From the union perspective, Peo secretary-general Sotiroula Charalambous noted that while the discussions were in-depth, “important divergences” still prevent a preliminary agreement. She mentioned that unions are now awaiting the next steps in the process.
Andreas Matsas, secretary-general of Sek, expressed disappointment that, despite the lengthy meeting, no initial decision was made. He conveyed the unions’ hope for a resolution by Friday but acknowledged the need to brief their collective bodies on the developments. Matsas confirmed plans for a meeting among all trade unions in the coming days to assess the situation, underscoring that the process “cannot be endless” and must lead to a definitive timeline.
Remaining Points of Disagreement
Union representatives Charalambous and Matsas both noted that the differences in negotiation points are “more than one.” Matsas revealed that while union members felt fatigued and frustrated after the protracted discussions, they remain resolute in their commitment to securing an outcome that benefits all workers.
