Public sector workers earning under £25,000 will get a three per cent pay rise under budget plans announced by the Scottish Government.
Finance Secretary Kate Forbes said she will follow a "progressive" path addressing low pay.
However, teachers union the EIS said the promise is an effective pay freeze for their members. And the GMB union said the promise was an "insult" which amounts to "a tenner a week for most".
Forbes confirmed the Scottish Government will use the "real living wage" at the increased rate of £9.50 an hour to "guarantee" the pay bump.
People on higher wages will receive a 1% increase capped at £800 above £80,000.
"The UK Government's ill-judged pay freeze has a material impact on our block grant, within which we must balance reward and affordability of public sector pay," she said in her budget statement at Holyrood today.
Forbes made the announcement while promising to raise income tax bands by inflation but freeze the top rate at £150,000, claiming taxes will go down for all Scots compared with this year.
The wider spending plans for Scotland are set against the backdrop of a devastating global health crisis and the impact of leaving the European Union.
The SNP complained the UK Government has not fully funded pandemic support schemes such as wage protection, and has not given details of their own future spending plans.
Forbes assumed she’ll get £500m more from the Treasury to top up her overall plans.
Forbes said: "Today's budget comes almost a year after the first case of Covid-19 was notified in Scotland. The pandemic has shaken our society and economy to their core.
"Every life has been impacted, and every single life lost has been a tragedy. Livelihoods have been up-ended. Frontline services have responded in remarkable ways.
"And of course our collective fight to overcome the virus continues. The exceptional circumstances require an exceptional response.
"This budget provides for continuity in our urgent work to control the virus and protect our economy and NHS, whilst the vaccine is delivered as quickly and as safely as possible."
Union leaders were not impressed.
Larry Flanagan, general secretary of the EIS teachers' union, said: "Today's announcement of an effective pay freeze will be met with deep disappointment by Scotland's teachers, who have been working flat-out throughout the pandemic to offer as much support as possible to young people.
"Politicians of all parties, including those in the Scottish Government, have repeatedly lauded the efforts of teachers during the pandemic and have highlighted the importance of teachers in maintaining education provision for young people during this crisis. It appears, however, that the Scottish Government is failing to match that rhetoric and instead is effectively seeking to freeze the pay of the teachers, rather than properly recognising their value."
GMB Scotland Senior Organiser Drew Duffy also criticised the public sector pay lift.
"This will be met with fury among the lowest paid in Scotland’s public sector," he said.
"Kate Forbes was among the many politicians applauding our frontline heroes, now she is saying thank you with a rise that won't amount to more than a tenner a week for most.
"There is no value here, and it’s an insulting response from the Scottish Government to the ongoing struggles of our key workers in this pandemic."