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ARM Enhances Employee Salaries and Benefits in New Agreement

Madeira GuideMadeira Guide
May 26, 2026
3 min read

Águas e Resíduos da Madeira (ARM) announces salary and meal subsidy updates for its employees, reflecting improved working conditions and financial sustainability.

In a significant development for the workforce of Águas e Resíduos da Madeira (ARM), the company has successfully concluded the fourth revision of its Enterprise Agreement in collaboration with two major unions: the Sindicato dos Trabalhadores da Administração Pública (SINTAP) and the Sindicato dos Trabalhadores da Função Pública da Região Autónoma da Madeira (STFP-RAM). This revision marks a notable improvement in the financial and operational terms for ARM employees.

Key Financial Updates

The revised agreement introduces salary enhancements with retroactive effect from January 1, 2026. This revision affects the majority of ARM's workforce, with 705 employees, approximately 77% of the staff, benefiting from these changes.

The salary adjustments vary across different employee levels. For levels 1 to 11, a minimum pay difference of 30 euros is established, equating to a unitary increase of 65.32 euros and an average pay rise of 6.06%. Employees in levels 12 to 33 will experience an average salary increase of 3.08%, while those in levels 34 to 39 will see a 2.15% rise.

Improved Meal Subsidy and Other Benefits

The agreement also outlines a gradual enhancement of the meal subsidy, starting from 7.50 euros in 2026 and incrementally increasing to 9 euros by 2029. Additionally, the calculation of the allowance for work discrepancies will transition from a monthly to a daily basis, now set at 4.40 euros per day worked, enhancing flexibility and fairness.

These changes are aimed at not just improving the financial welfare of the employees but also ensuring the company's financial sustainability. ARM emphasizes that these measures will reinforce the working conditions and professional value of its staff, promoting a balanced and sustainable operational framework.

Context and Implications for Madeira

This agreement is a crucial step for ARM as it navigates the complex economic landscape of Madeira, a region heavily reliant on tourism and public services. By securing better terms for its workers, ARM is not only enhancing employee satisfaction but also contributing to the overall economic stability of the island.

For both locals and tourists, these developments at ARM signify a commitment to maintaining high standards in public utilities and services, which are pivotal to the quality of life and visitor experience in Madeira.

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