The New South Wales government has reached a major agreement with the Health Services Union (HSU) to improve the wages and benefits of more than 50,000 health workers across the state.
Under the agreement, NSW Health employees in various roles, including allied health staff, hospital cleaners, scientists, security guards, and patient transport staff, will receive a cumulative 8.5% pay increase over the next two years. This includes a 4% pay increase and a 0.5% superannuation increase from July 1, 2025, and a further 4% increase from July 1, 2026.
The agreement aligns with the government’s fair pay and bargaining policies and comprehensively reforms the NSW Health Awards system.
Benefit improvements include reducing the waiting time for higher tariffs from five days to three, increasing rest periods between shifts from eight to ten hours, and reducing the notice period for shift changes from two weeks to four weeks.
The government and the HSU also pledged to continue working together to modernize, consolidate, and streamline over 50 existing industry awards.
This agreement is a key component of the New South Wales Government’s comprehensive, long-term plan to repair the health system and improve health services. After 12 years of underinvestment in the health system, the Minns Labor Government is actively investing in the health workforce and rebuilding this critical public service.
Treasurer Daniel Mookhey said: “Improving pay and benefits for more than 50,000 health workers is an important step in repairing NSW’s health services.
They play a critical role in ensuring access to high-quality care for our people. The Government will continue to ensure the interests of these providers and those who rely on them are protected.”
Health Minister Ryan Park said: “We are committed to building a capable and supported health workforce.
Removing the wage cap and establishing a new bargaining mechanism will address recruitment and retention challenges, with the goal of delivering more health workers, shorter wait times, and better outcomes.”
Industrial Relations Minister Sophie Cotsis emphasized: “This is the first multi-year agreement in over a decade, recognizing the contributions of health workers and guaranteeing fair pay and conditions.
We are abolishing the 12-year wage cap, implementing a modern bargaining framework, reforming industrial relations laws, advancing gender equality, and addressing the recruitment and retention crisis.”
This agreement marks a new phase in the development of fairer and more sustainable health services in NSW.

