The Irish government and unions have agreed a collective pay agreement for public sector workers that provides for an average increase of 10.25% over two and a half years.

The agreement, which is subject to approval by the individual public sector unions, will cost the government a total of 3.6 billion euros ($3.90 billion), Public Expenditure Minister Paschal Donohoe said in a statement. ($1 = 0.9228 euros) (Writing by Conor Humphries; editing by William James)