**Public Sector Employment Rises in First Quarter of 2026**
Total employment in Cyprus’ broad public sector reached 78,388 individuals in the first quarter of 2026, reflecting a year-on-year increase, as reported by the state statistical service, Cystat. This figure represents an increase of 1,354 persons, or 1.8 percent, compared to the same period in 2025.
Breaking down the numbers, employment within the general government sector accounted for 73,236 persons, while publicly owned enterprises and companies contributed 5,152 persons to the total. Within the general government category, which encompasses state employees, non-profit organizations, and local authorities, the employment distribution was as follows: 55,354 state employees, 11,476 individuals in non-profit organizations, and 6,406 persons working for local authorities.
The most significant growth in public sector employment was observed in local authorities, which saw an increase of 825 persons, or 14.8 percent, rising from 5,581 persons in the first quarter of 2025 to 6,406 in the same quarter of 2026. Cystat attributed this surge primarily to higher staffing levels in district local government organizations, which experienced a notable increase of 512 persons, or 55.2 percent, bringing the total to 1,439 individuals from 927 a year prior.
In terms of central government employment, there was a modest increase of 339 persons, representing a 0.5 percent rise year-on-year, resulting in a total of 66,830 persons in the first quarter of 2026. Specifically, the number of state employees rose by 111 persons, or 0.2 percent, from 55,243 in the first quarter of 2025 to 55,354 in the same quarter of 2026. Employment in non-profit organizations also saw an annual increase, rising by 228 persons, or 2 percent, from 11,248 to 11,476.
Publicly owned enterprises and companies reported an annual increase of 190 persons, corresponding to a 3.8 percent rise, increasing from 4,962 persons in the first quarter of 2025 to 5,152 in 2026.
When compared to the fourth quarter of 2025, the broad public sector employment also saw a slight increase of 264 persons, or 0.3 percent, from 78,124. The quarterly rise was noted across all three main categories of employment. Central government employment rose by 49 persons, or 0.1 percent, while local authorities experienced an increase of 181 persons, or 2.9 percent. Publicly owned enterprises and companies recorded a smaller quarterly rise, increasing by 34 persons, or 0.7 percent.
Within local authorities, employment in municipalities reached 3,907 persons in the first quarter of 2026, up from 3,856 in the previous quarter and 3,594 a year earlier. This represented a quarterly increase of 1.3 percent and an annual rise of 8.7 percent. Conversely, employment in other local authorities remained stable at 1,060 persons, unchanged from both the fourth quarter of 2025 and the first quarter of the previous year.
In a methodological update, Cystat announced that from the first quarter of 2026, the terminology used in reporting has been adjusted; the term ‘government’ has been replaced by ‘state employees’ for enhanced accuracy. However, the statistical service clarified that this change does not affect the methodology or the comparability of the data over time.
This rise in public sector employment in Cyprus reflects ongoing trends in government staffing and local authority growth, indicating a continued commitment to public service and community support. As the economy evolves, the public sector remains a vital component of employment and service provision in the country.