SNCF Wage Deal Signed: 2.6% Increase Amid Union Split

SNCF secures a 2.6% wage deal, including bonuses and a seniority guarantee, despite union opposition, impacting labor stability and future negotiations.

January 28, 2026 4:39 pm

🛑 Key Takeaways:

SNCF has finalized a new wage agreement with two of its four representative unions, securing labor stability despite opposition from two others.
The deal provides an average wage increase of ~2.6%, composed of a 0.5% general raise, bonuses totaling ~€1,750, and a new 0.6% annual seniority guarantee.
The agreement’s reliance on one-off bonuses over base salary hikes highlights a contentious cost-management strategy, while the union split signals potential for future labor disputes.

PARIS, FRANCE – SNCF will implement a new wage agreement delivering an average 2.6% pay increase this year, after securing approval from two of its four main unions. The deal’s structure, which leans heavily on one-time bonuses rather than substantial base salary hikes, places it below projected 2026 average pay raises in the U.S. (3.5%) and Canada (3.0%). The agreement was signed by CFDT Cheminots and UNSA-Ferroviaire but rejected by the powerful CGT Cheminots and Sud-Rail unions.

Category	Specification / Detail
Agreement	SNCF 2024 Mandatory Annual Negotiations (NAO)
Average Increase	~2.6% (including bonuses and guarantees)
General Base Increase	0.5% (paid in two 0.25% increments)
Total Bonus Package	Approx. €1,750 per employee (average)
New Mechanism	0.6% Annual Salary Progression Guarantee (GPSA)
Key Stakeholders	SNCF Management, CFDT & UNSA (Signatories), CGT & Sud-Rail (Opposed)

Operational & Technical Details

The ~2.6% average increase is a composite figure. It combines a modest 0.5% general salary increase with a larger package of bonuses and guarantees. All employees will receive a minimum guaranteed increase of 1.1% to their base pay, derived from the 0.5% general raise and a new 0.6% Annual Salary Progression Guarantee (GPSA). This GPSA mechanism ensures an automatic salary progression linked to seniority, even without a formal promotion.

The bonus component totals approximately €1,750 per employee. This includes a €650 bonus, of which €400 was paid in December, and an average bonus of €1,100 scheduled for May. For contract employees, representing about one-third of the workforce, the agreement replaces a triennial seniority bonus system with a more frequent annual increase.

Market Impact Analysis

The agreement is a strategic success for SNCF President Jean Castex, mitigating immediate strike risks amid ongoing debates over purchasing power in France. However, the split union decision underscores deep divisions. Opposing unions CGT and Sud-Rail argue the deal creates precariousness by favoring one-off payments over permanent base wage increases, a point of contention in many industries.

This “bonus-heavy” approach mirrors a wider corporate trend of managing fixed costs while addressing employee demands for higher compensation. It provides short-term financial relief to workers but fails to compound in the same way as a general salary increase, a key reason for the union opposition. The outcome of these negotiations at France’s national rail operator will likely influence upcoming public sector wage talks across the country.

FAQ: Quick Facts

What is the main value of the SNCF agreement?

The agreement provides an average wage increase package of approximately 2.6%. This is composed of a 0.5% general base salary increase, bonuses totaling around €1,750, and a new 0.6% annual seniority guarantee.

When will the new measures be implemented?

The wage increases and new mechanisms will be implemented this year. A portion of the bonus package was paid in December, with the remainder scheduled for payment at a later date, including an average €1,100 bonus in May.