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Cyprus Reviews Public Sector Reform And Working Conditions

The future of public sector reform, workplace conditions and the modernisation of government services were among the key issues discussed during a meeting on Tuesday between President Nikos Christodoulides, senior ministers and representatives of the civil servants’ union Pasydy.

The discussions brought together Finance Minister Makis Keravnos, Labour Minister Marinos Mousiouttas and Pasydy officials to review several outstanding issues affecting public sector employees and the operation of government services.

Focus On Reform And Modernisation

Rather than seeking salary increases, Pasydy said its priority is improving the efficiency and quality of the public service. The union is calling for reforms that support digital transformation, clarify the status of permanent employees and create a more modern public administration for both citizens and businesses.

Pasydy General Secretary Stratis Mattheou described the meeting as constructive, adding that discussions with the Ministry of Finance will continue as work on the proposed reforms moves forward.

Concerns Over Public Infrastructure

The union also highlighted the condition of some government buildings, particularly those housing social welfare services, arguing that parts of the public sector continue to operate in facilities that fall well below acceptable standards. Mattheou described some workplaces as resembling “third world” conditions.

While plans already exist to gradually replace or upgrade government buildings, he acknowledged that implementation will depend on future state budgets and cannot happen immediately.

Next Steps

A joint working group comprising representatives from the Ministry of Finance, the Public Service Commission and Pasydy is expected to submit its recommendations on public sector reform to the president by the end of September.

Other outstanding issues discussed during the meeting are expected to be addressed before the end of the year, as consultations between the government and the union continue.

Cyprus Steps Up Efforts To Attract U.S. Tech Investment And Talent

Cyprus is preparing a renewed push to attract U.S. technology companies, investment and skilled professionals, with President Nikos Christodoulides expected to lead a delegation to the United States at the end of November 2026.

The visit will build on contacts made during the president’s April 2025 trip and focus on turning interest from the U.S. technology ecosystem into business partnerships, investment and opportunities for Cypriot professionals abroad. A central part of the effort is a New York event on Nov. 30, organized by the Presidency and Invest Cyprus under the “Minds in Cyprus – The Brain Gain Initiative.”

The initiative is designed to connect Cypriots working in the United States with companies operating in Cyprus that are seeking specialized talent. It also reflects a wider economic challenge: attracting technology businesses is difficult if the country cannot provide enough experienced professionals to support their growth.

Building On Earlier U.S. Engagement

The upcoming mission follows a series of meetings in the United States in April 2025, when Christodoulides met representatives of major companies, including Nvidia, Amazon, Google, OpenAI, Tenstorrent and Plug and Play.

Since then, Plug and Play and Tenstorrent have opened offices in Cyprus. The engagement with Nvidia has also been significant, although the company has not established an office on the island. The collaboration contributed to the development of computing infrastructure and the installation and operation of Cyprus’s first operational supercomputer.

Contacts with other technology companies, including Amazon, Google, OpenAI, Oracle and Microsoft, have continued since the 2025 meetings. Interest appears to be ongoing: the president of Invest Cyprus recently said that two additional U.S. companies had approached the organization seeking information about establishing operations in the country.

Turning Business Contacts Into Investment

The government’s aim is to build on the momentum of the previous visit and convert engagement with U.S. businesses and technology leaders into concrete commercial outcomes. Christodoulides has said that meetings with Cypriot scientists and entrepreneurs in technology and innovation helped inspire Cyprus Catalyst, a network intended to connect Cypriot professionals in the United States with the country’s business community.

The network is designed to create channels for collaboration, investment and growth between Cyprus and the U.S. technology ecosystem. The president has emphasized that international outreach should lead to tangible partnerships and economic opportunities, rather than remain a series of diplomatic or business contacts.

Investment And The Brain-Gain Strategy

Attracting foreign companies is only one part of the government’s strategy. The other is encouraging Cypriot scientists and professionals living abroad to return, bringing skills and experience gained in international markets.

The two goals are closely linked. New technology companies create demand for specialized employees; returning professionals can help meet that demand. For Cyprus, the availability of skilled workers is also a factor in whether prospective investors decide to establish operations on the island.

The Nov. 30 event in New York will bring together Cypriot professionals working in the United States, entrepreneurs, corporate executives and members of the wider Cyprus-U.S. business community. Its purpose is to present the professional opportunities emerging in Cyprus and connect attendees with organizations seeking people with specific expertise.

What Participants Can Expect

According to the published program, attendees will be able to:

  • Learn about current and expected job openings in Cyprus and meet representatives of local businesses.
  • Take part in one-to-one matchmaking meetings with companies seeking professionals with specific skills and experience.
  • Hear about developments in the Cypriot economy, priority growth sectors, investment opportunities and the business environment.
  • Review the government’s Action Plan for the Repatriation of Talent and the options available to professionals considering a return.
  • Build professional connections with Cypriot scientists, entrepreneurs and members of the broader U.S.–Cyprus business community.

The mission’s broader test will be whether Cyprus can translate international interest into sustained investment—and pair that investment with the talent needed to support long-term growth.

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