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Cyprus public sector workforce tops 78,000 in second quarter

Cyprus Mail · 2026-09-14

AI SUMMARY

• What happened: Total employment in Cyprus' public sector reached 78,433 in the second quarter of 2026, marking a 1.4% increase from the previous year, with significant growth in local authorities. • Why it matters: The rise in public sector employment, particularly in local authorities, indicates a shift in workforce dynamics and highlights the increasing demand for public services in Cyprus. • What to watch next: Monitor future employment trends in the public sector, especially in local government, and any potential impacts on public service delivery and budget allocations.

**Cyprus Public Sector Workforce Tops 78,000 in Second Quarter of 2026**

In the second quarter of 2026, the total employment within Cyprus' broad public sector reached 78,433 individuals, marking an increase of 1,119 employees or 1.4 percent compared to the same period in the previous year, according to data released by the state statistical service, Cystat.

The breakdown of employment figures reveals that the majority of public sector workers, 73,284, are employed in general government roles. This category encompasses various levels of government, including central government and local authorities. Additionally, publicly owned enterprises and companies accounted for 5,149 employees.

Within the general government sector, the employment distribution is as follows: there are 55,372 state employees, 11,314 individuals working in non-profit organizations, and 6,598 employees in local authorities. Notably, the general government sector saw an increase of 1,009 employees, or 1.4 percent, from the second quarter of 2025.

A significant contributor to this growth was the local authorities, which experienced an employment rise of 716 individuals, translating to a 12.2 percent increase from the previous year. This surge brought the total number of employees in local authorities to 6,598, up from 5,882 in the second quarter of 2025. Cystat attributed this growth primarily to district local government organizations, which saw a remarkable 39.1 percent increase in staffing, from 1,063 to 1,479 employees over the same period.

In contrast, employment within the central government sector increased by a modest 293 individuals, reflecting a 0.4 percent rise from 66,393 employees in the second quarter of 2025 to 66,686 in 2026. The number of state employees specifically rose by 164, or 0.3 percent, from 55,208 to 55,372. Non-profit organizations also reported a slight increase in employment, with 11,314 employees representing a 1.2 percent rise from 11,185 in the previous year. Publicly owned enterprises and companies observed a 2.2 percent increase, adding 110 employees to reach a total of 5,149.

When examining the quarterly data, the public sector workforce saw a slight increase of 45 employees, or 0.1 percent, from the first quarter of 2026, which recorded 78,388 individuals. The general government sector experienced a marginal rise of 48 employees, but this was offset by a decline in central government employment, which fell by 144 individuals, or 0.2 percent.

Local authorities, however, showed a robust growth pattern, with employment increasing by 192 individuals, or 3 percent. In the central government sector, state employee numbers rose slightly from 55,354 in the first quarter to 55,372, while employment in non-profit organizations saw a decline of 1.4 percent, dropping from 11,476 to 11,314.

Among local authorities, district local government organizations reported a rise in employment to 1,479, up from 1,439 in the previous quarter, indicating a 2.8 percent increase. Municipal employment also rose, reaching 4,049 individuals, which is a 3.6 percent increase from the first quarter and a 7.7 percent increase from the same quarter in 2025. Other local authorities maintained a stable workforce of 1,070, reflecting a 0.9 percent increase from both the previous quarter and the previous year.

Cystat has also clarified that a terminology change was implemented in the first quarter of 2026, replacing the term "government" with "state employees" for improved accuracy in reporting. However, the statistical service assured that this change does not impact the methodology or the comparability of historical data.

As the public sector continues to grow, the trends in employment reflect ongoing changes within local authorities and the broader government framework in Cyprus, highlighting the evolving nature of public sector employment in the country.

Source: Cyprus Mail
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