Public servants in SVG to get salary increase in tax-free Budget 2025 

By Admin. Updated 9:55 p.m., Monday, January 13, 2025, Atlantic Standard Time (GMT-4). 

The EC $1.85 billion 2025 Budget is tax-free and comes with a 2.5 percent salary increase for public servants. 

Minister of Finance, Economic Planning and Information Technology announced this today in Parliament as he presented his contribution to the 2025 Appropriations Bill, known as the National Budget. 

“This budget contains no new fiscal measures: no new taxes, no new fees, and no changes to existing taxes or fees,” Mr. Gonsalves told Parliament. 

He said the move to increase salaries for public servants by 2.5 percent this year is in line with the government’s agreement with the Labour Movement in the country.

“Last year, we promised to honour our agreement with the Labour Movement to increase public servants’ salaries three times over a three-year period. Public servants’ salaries were increased by 2.5 percent in 2023 and two percent in 2024. This year, we will complete our commitment by increasing public servants’ salaries again in 2025, this time by 2.5 percent,” the finance minister said. 

“To accommodate this increase, and increments, Budget 2025 allocates an extra $25.6 million dollars for Compensation of Employees, relative to last year’s budget. This is a 6.6 percent increase in the Government’s wage bill,” Mr. Gonsalves added. 

He also spoke about a possible salary increase for 2026 after discussions with Unions. 

“In Budget consultations with the Labour Movement last year, some unions made proposals for a fresh salary enhancement package beginning in 2026. We look forward to productive consultations with the Labour Movement this year to facilitate an understanding about our post-disaster constraints, parameters and possibilities,” Mr. Gonsalves said.