This paper focuses on the impact of the 2007/2008 financial and economic crisis on the public sector and its labour relations in Spain, the UK, Sweden and Germany. The analysis of the contextual background - general and societal economic developments as well as industrial relations - in which such transformations happened embeds the comparison of the four country case studies. Our findings show that the crisis and austerity policies furthered some short-term divergent developments of the public sectors in the countries considered but long-term convergence can be also expected. Some theoretical conclusions from these mixed developments in the aftermath of the crisis are drawn.