**Nicosia, Cyprus** – Figures released on Monday by the Statistical Service of Cyprus reveal a discernible, albeit modest, expansion in the island nation's broader public sector employment over the past year, juxtaposed with a significant contraction in the most recent quarter. The data, pertaining to the third quarter of 2025, indicates a year-on-year increase of 1.8%, but a substantial quarter-on-quarter decline of 3.7%, painting a complex picture of public administration staffing.
In the third quarter of 2025, the total number of individuals employed across the encompassing public sector reached 74,431. This figure is meticulously dissected into various governmental and quasi-governmental entities. The General Government sphere, encompassing central government, non-profit organisations, and local authorities, accounted for the lion's share with 69,346 employees. Within this, central government operations employed 52,879 individuals, while non-profit organisations and local authorities engaged 10,429 and 6,038 personnel respectively. Complementing these figures, government-controlled companies and enterprises provided employment for an additional 5,085 individuals.
The year-on-year comparison, contrasting the third quarter of 2025 with the same period in 2024, highlights a net addition of 1,294 public sector jobs. This upward trajectory was principally propelled by robust growth within the central government, which saw its workforce increase by 643 individuals, representing a 1% rise. Local authorities demonstrated even more pronounced expansion, adding 550 positions, a notable 10% surge. A significant contributor to this local authority growth was the substantial intake of personnel by provincial self-government bodies, which reported an impressive 40.9% increase, onboarding 347 new workers. Furthermore, government-controlled enterprises contributed to the overall expansion, augmenting their ranks by 101 employees, a 2% increment.
However, the narrative shifts dramatically when examining the quarter-on-quarter changes, comparing the third quarter of 2025 with the preceding second quarter. A considerable decrease of 2,883 positions, or 3.7%, was observed in total public sector employment. This downturn was predominantly driven by a substantial reduction within the central government, which shed 3,085 jobs, a 4.6% contraction. The Statistical Service attributed this decline primarily to a retrenchment in the number of fixed-term employees within the Education Service, a key component of central government operations. In contrast, local authorities continued their upward trend, adding 156 jobs, a 2.7% increase, and government-controlled enterprises also experienced a marginal growth of 46 positions, a 0.9% rise.
The data thus indicates a dual dynamic at play: a sustained, albeit moderate, expansion in the public sector over the twelve months leading up to the third quarter of 2025, suggesting underlying governmental development or service provision enhancement. Conversely, the sharp quarterly decline points towards seasonal adjustments, particularly within the education sector, or potentially a strategic recalibration of fixed-term contracts. This nuanced pattern underscores the complexities of managing a public sector workforce, influenced by both long-term strategic goals and short-term operational exigencies. The implications of these figures will likely be a subject of further analysis by policymakers and economic observers keen to understand the evolving landscape of public employment in Cyprus.