The Cyprus Bankers Employeers Association and the Cyprus Union of Bank Employees (Etyk) signed the new collective labour agreement on Wednesday, covering the years 2023 to 2027.

The agreement was signed at the headquarters of Bank of Cyprus (BoC), in the presence of the Labour Minister, Marinos Moussioutas, by the president of the association, Panicos Nicolaou, and the honorary president of the union, Loizos Hadjicostis.

In a statement, the association said the agreement “confirms the spirit of good cooperation between the two parties” and sends a clear message of labour peace, stability and a positive outlook for the financial sector and the Cypriot economy more broadly.

In the same context, Nicolaou said banks and employees were now moving forward with a shared vision for the future of the country, particularly ahead of the first half of 2026, when Cyprus will assume the presidency of the Council of the European Union.

He added that cooperation with staff is now based on partnership rather than confrontation, noting that employers and employees are “on the same side”, with a shared commitment to creating value for the economy, supporting society, safeguarding financial stability and strengthening economic growth and social cohesion.

The agreement marks the first collective labour agreement in years and covers staff employed at member banks that belong to the union.

Earlier this week, the renewal of the agreement for the period 2023 to 2027 was approved by the general assemblies of Etyk members, with a majority of 97.61 per cent.

According to an announcement, members were fully informed of the content of the agreement and were given the opportunity to seek clarifications, address questions and express their views on what was described as a particularly important issue.

During the assemblies, members voted by secret ballot on the proposal submitted by the organisation’s board of directors, resulting in an approval rate of 97.61 per cent.

The outcome, the announcement said, “once again confirms that colleagues and members of ETYK are distinguished by responsibility, prudence, maturity, proper planning and sound strategy”.

The agreement provides, among other things, for a lump sum payment of €4,500, to be paid in three equal instalments, a monthly increase of €100 in the basic salary (€50 plus €50), an increase in annual leave for all employees by six days, higher contractual loan amounts, as well as modifications and improvements to salary scales.

Concluding, the union said it had negotiated the renewal of the agreement “with persistence, seriousness and responsibility”, adding that it ensures labour peace until the end of 2027 and is considered beneficial for all colleagues, particularly those on low wages.

It added that the result “vindicates our organisation towards our colleagues”.