The NSW government has paused public sector pay rises for 12 months amid the COVID-19 pandemic and says it will not make any of its workers redundant during that time.
Premier Gladys Berejiklian last week said her government was seeking a freeze on pay rises for MPs.
On Wednesday she extended that freeze to the NSW entire public NSW of almost 410,000 workers to temporarily save about $3 billion.
“Every spare dollar we have and every dollar we don’t have, we need to spend in health and also in jobs and job security – that is the priority,” Mr Berejiklian told reporters.
Australian Bureau of Statistics labour force data in April showed more than 220,000 people in NSW lost their jobs, as the spread of COVID-19 battered the state economy.
Total employee wages for NSW also fell 4.9 per cent between March 14 and May 2.
Ms Berejiklian has also guaranteed no public sector workers in NSW would over the next 12 months be given forced redundancies, barring senior executives.