
The Cabinet of this country approved part of the salary increase for more than three million public employees approved by the government and the UGT and CSIF unions, under which the CC OO was summed up in this country. According to the Minister of Public Service, Oscar López, an increase of 2.5% has been approved in 2025, retroactive to January 1, and 1.5% since the first day of 2026, which means a cumulative increase of 4% (another 0.5% can be added to it based on the IPC). The government’s agreement with the unions specifies seven additional points for the increase until 2028, to reach 11%. At the same time, Martis’ cabinet meeting approved the same fiscal path that Congress rejected last week
The Ministry of Public Works specified that state employees, numbering about 540,000, will receive a 2.5% increase in December, with “the corresponding amounts being paid in arrears since the month of 2025.” The administration headed by Lopez embodies this increase: “For an average gross salary of 3,300 euros per month, even if an additional amount is paid with a delay from 2025 of approximately 1,140 euros.” The rest of the public administrations, whether independent or municipal, can pay these delays as of the same month of December or distribute them until 2028.
In the year 2026, the text approved by the government specifies a salary increase of 1.5%, “taking into account the amounts in effect on December 31, 2025,” so that it grows taking into account a 2% rate for continuous training. “In addition, a compensatory and standardizable increase of 0.5% will be applied if the CPI variation in 2026 is equal to the higher rate of 1.5%,” says Función Pública, which warns that in 2026 the increase may continue depending on the development of prices.
The Council of Ministers approved the text regulating the salary increase by a legal decree. I want to decide that it will take effect with its publication on The Official Gazette of the State This is unacceptable, but it must be ratified by Congress so that it is not rejected.
Asimismo, CC OO decided this matter to summarize the agreement signed by CSIF, UGT and Función Pública, after the doubts expressed last week and the difference of opinion regarding the organization. The Confederation Council of the Union decided to sign the agreement, “waiting for the appropriate time to be able to implement the official procedure for signing with the Ministry of Digital Transformation and Public Jobs,” according to what was stated in a statement by the Union. The union led by Unai Sordo says it will “work to fulfill commitments on outstanding issues related to the historic agreement signed in 2022 and the overdue contents that have not yet been met in the negotiations.”
stability path
At the meeting in March, the government also agreed to the same stabilization path that was rejected last week in Congress by voting against the PP, Vox, Güntze and UPN. The executive insists that these goals are necessary to approve the draft general state assumptions for 2026, and warns that if the Cortes oppose them, the supposed balance set forth in the constitution for the autonomous regions will be automatically triggered. Once the issue is reached, the government has indicated that any margin of deficit will disappear, and many regional governments – most of which are in the hands of the People’s Party – will have to adjust their accounts immediately.
The replanted path to Mars maintains the same projected numbers: the combined public deficit will fall to 2.1% of GDP in 2026, to 1.8% in 2027, and to 1.6% in 2028. For central administration, the targets are 1.8%, 1.5% and 1.4% of GDP respectively, while Social Security will fall to 0.2% in 2026. 2027 and 0.1% in 2028. The autonomous communities could face a deficit of 0.1% annually, while local companies must remain in balance.
This 0.1% percentage of autonomy represents a reserve of about 5,500 million in three years that the regional governments will lose if the path is rejected again. Madrid and Catalonia will benefit most, with about 1,000 million each; Andalusia will have a margin of more than 700 million. In total, the pool of communities will include 1,755 million in 2026, 1,828 in 2027, and 1,901 in 2028.
If Congress blocked the road again, Hacienda recalls, this extra margin would disappear completely and societies would be forced to achieve a supposed balance or zero deficit.
The executive therefore speaks directly to the PP, which directly controls 11 communities (in addition to its presence in the Canary Islands government) and which will continue to vote against Congress. Hacienda accuses them of working against their land interests by preventing them from obtaining additional resources. Also opposed is Junts, who considers that one-tenth of the margin minuscule.
In the face of the threat of siege, the government recalls that the stability law allows for a second path in the event of rejection, but it does not prevent the application of the constitutional principle of automatically assumed stability in the event of its failure again. This is an unprecedented scenario, so what remains to be seen is the argument the executive makes with legal support.