Sinn Fein has slammed a possible increase in public sector pay as 'auction politics'.

The Sunday Independent reports today that the coalition could be set to increase the wages of 290 thousand public sector workers by 2 percent.

It's also reported that the announcement could be made by the coalition before the summer break in July.

But Sinn Fein says the economic recovery should be directed in a fairer way.

Sinn Fein Senator David Cullinane, says wages need to be increased for low paid and middle income workers: