Update on wage negotiations across the TSS (12 Mar 2026)
Hello everyone
I want to update you on the significant progress on negotiations on all agreements under negotiation for the TSS. This includes the PSUWA that covers the majority of our State Service employees.
To recap, we began negotiations last year with 18 wage agreements to be negotiated. We have finalised agreements for doctors, police, firefighters and education facility attendants. This represents strong momentum and reflects our commitment to reaching fair and timely outcomes for all State Service employees.
Current state of negotiations
On 25 February, Acting Head of the State Service Shane Gregory updated all State Service employees about PSUWA negotiations, emphasising my previous commitment to unions on 16 February and reiterating the 31 March date to reach agreement was critical to maintain salary retrospectivity to the first full pay period on or after (ffppooa) 1 December 2025.
This included salary increases, new allowances, structural reforms, and a range of contemporary working conditions to support a productive and efficient State Service.
As part of the proposal, options for potential offsets to fund any proposed package must be explored.
This approach balances our commitment to ensuring State Service employees receive a fair salary increase and conditions as soon as possible, with responsible and sustainable budget management.
Any proposals and a final offer have always been conditional on efficiencies and offsets being negotiated, depending on the final package. This was a component of the three-year agreement reached with the Police Association of Tasmania (PAT).
On Friday, I provided a letter of offer to the Australian Education Union (AEU) for a three-year agreement covering teachers, with headline salary increases of 3% in year one, 3% in year two and 2.75% in year three. This is the same headline wage increase that was offered, and accepted, by PAT. In addition, the offer focused on issues that matter most to teachers regarding workload, safety, staffing and professional support and the conditions that help improve student learning. This overall package has been achieved through existing funding arrangements and offsets through the reprofiling of short-term capital funding and efficiencies.
I remain hopeful the agreement will be accepted by 20 March so our 5,900-strong teacher workforce can receive a pay rise when due and continue the important and essential job of teaching our children and young people.
We have been having respectful and productive discussions on agreements that cover paramedics, dentists, radiation therapists and those employed by the Port Arthur Historic Site Management Authority. In addition, I provided a letter of offer to the Community and Public Sector Union for the agreement covering ministerial drivers on 27 February.
What’s happening this week
This week in our ongoing meetings with unions, we will work through areas of common ground and also areas that may require further discussion. Good faith negotiation is two-way and we want to achieve fair outcomes as soon as possible.
I have seen union communication saying we are seeking offsets. This is true, as I have just outlined. But I want to make clear that some claims by unions are incorrect.
- The three Christmas close‑down days are not being removed.
- Christmas Close‑down shift‑worker penalties are not being removed.
I want to see negotiations conclude, and it is disappointing that increased industrial action puts the service delivery to Tasmanians at risk. Foreshadowed industrial action by unions is taking away from the important task of reaching agreement.
I will continue to keep you informed and you will also hear from your Head of Agency as progress continues on agency-specific areas of interest. I want to ensure all State Service employees are aware of the progress we are making and the efforts to ensure fair salaries and improved conditions across the TSS.
Kind regards
Kathrine Morgan-Wicks
Head of the State Service
Secretary, Department of Premier and Cabinet
12 Mar 2026
