An interim peace deal over pay has been struck between NSW firefighters and state officials, but their union warns it is not backing down on claims for a major wage increase.
A stop-gap agreement for a three per cent rise, backdated to February, shifts the industrial dispute to formal arbitration to resolve the parties' outstanding issues.
Some 6800 firefighters would benefit from the deal that followed a 4.5 per cent pay rise delivered in 2023, the state government said on Monday.
The Fire Brigade Employees Union is seeking a wage rise of 20 per cent over three years to help members with cost-of-living pressures in a dispute that led to hundreds of firefighters protesting outside state parliament in March.
The interim deal will mean the parties move to the Industrial Relations Commission for arbitration.
Union state secretary Leighton Drury said the provisional deal did not change the broader pay demand for members.
"We hope that the Industrial Relations Commission and the new judges will see the worth of professional firefighters for what they do for NSW," he told AAP.
"We're still aiming for eight, six and six (per cent) over three years."
Industrial Relations Minister Sophie Cotsis said the agreement was "a good step forward, but we still have work to do”.
The NSW government has offered all public-sector workers a blanket 10.5 per cent pay rise over three years, including a mandatory superannuation increase, well short of the figure demanded by several key unions.
The pay dispute has led to mass strikes from nurses and midwives in recent weeks as their union pushes for an immediate 15 per cent pay increase.
Emergency Services Minister Jihad Dib said the deal for firefighters showed a commitment by government and the union to get "practical outcomes" for emergency workers.
“We continue to work towards an outcome that is fair and sustainable for Fire and Rescue NSW firefighters and the people of NSW," he said.
The state opposition described the deal as a "temporary bandaid" to the ongoing industrial stoush.
"This so-called 'mutual gains bargaining' is an absolute flop," industrial relations spokesman Damien Tudehope said.