The NSW government is urging caution over the June long weekend after the lifting of restrictions on intrastate travel.

Following the easing of travel restrictions on Monday, the state government on Thursday encouraged travellers over the coming long weekend – the first opportunity for many to leave their home towns since February – to take care.

They would need to continue adhering to social distancing measures.

“We’re probably doing better than we anticipated at this stage of the pandemic, however we have to be cautious, we have to be vigilant, we have to be safe to make sure that even the mildest symptom means we get tested,” Premier Gladys Berejiklian said.

Meanwhile, two new COVID-19 cases were recorded in NSW in the 24 hours to 8pm on Wednesday, both returned travellers in hotel quarantine, making it the eighth straight day the state has recorded no cases of community transmission of the virus.

The state has recorded 3106 cases to date and one person remains in intensive care.

Treasurer Dominic Perrottet on Thursday said NSW economic demand in the March quarter had contracted 1.5 per cent, with steeper declines certain in the June quarter.

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Household consumption in NSW had also fallen 1.6 per cent.

The figures were released as the government struggles to secure its proposed 12-month pay freeze for public sector workers, which would save $3 billion for public project investment.

The policy was blocked in state parliament on Tuesday when Labor and crossbench MPs united to pass a disallowance motion in the upper house.

On Thursday afternoon, it went to the Industrial Relations Commission for conciliation.

The NSW coroner, meanwhile, announced on Wednesday it would investigate a spate of coronavirus-related deaths at a western Sydney aged care home.

About 70 people became infected and 17 residents died after a Newmarch House employee worked despite having mild symptoms.

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All residents and staff who tested positive for COVID-19 have since been cleared.

AAP.