The interim agreement was reached to ensure federal employees receive a pay rise by the end of August next year while a more permanent workplace relations policy is discussed.

Public Service Minister Katy Gallagher said the interim agreement meant employees would not be worse off in coming months while talks on the long-term policy were held.

“Re-engaging with genuine bargaining and establishing the public service as a model employer is a key focus of the Albanese Labor government,” Gallagher said.

“The government is committed to working in partnership with agencies, unions and employees to develop a comprehensive workplace relations approach for the Australian public service.”

Gallagher said the interim agreement would provide certainty for employees while workplace negotiations occurred across the entire public sector.

Specific workplace conditions for individual agencies would be negotiated within the department.

“This is a complex undertaking as there are significant differences in pay, terms and conditions across the Commonwealth,” Gallagher said.

“The proposed reform will need to include careful consideration and consultation on these matters.”

-AAP