Faroese public sector union and finance ministry agree to new wage deal

The Faroese Union of Public Employees and the Ministry of Finance have signed a one-year wage agreement granting a 3.64% pay increase retroactive to 1 October 2025, public broadcaster KVF reports.

The deal, signed by union chair Súni Selfoss and Finance Minister Aksel V. Johannesen, covers the period from 1 October 2025 to 1 October 2026. It follows a broader public-sector settlement earlier this year that saw wage hikes of up to 3.87% for 12 unions negotiating with the ministry.

The new agreement carries an estimated cost of 0.23% of total payroll, with the 3.64% increase now confirmed for all union members.