The Queensland Government has announced a new wages framework providing pay increases of up to 3 per cent to public servants in return for productivity savings that deliver better services and value for money for Queensland taxpayers.

Treasurer Tim Nicholls said the State Government was committed to good faith bargaining and delivering fair wage outcomes for public servants.

“With headline inflation running at 1.6 per cent nationally, the Newman LNP Government’s wages framework is very fair and reasonable and fulfils our commitment to good faith bargaining," he said.

“The Newman LNP Government is removing Labor’s arbitrary 2.5 per cent wage cap because we know the public service can and will deliver real benefits through savings and improved productivity in return for higher wages.

“This is about delivering fair wages in return for fair outcomes.

“Labor left the state’s finances in a mess, with a $2.8 billion deficit and debt heading towards $85 billion, and we need the assistance of unions and public servants to identify waste and deliver real, bankable productivity savings.

“We believe it is possible to properly reward staff, while also ensuring financial sustainability and good returns for the public.