German Steel Workers Unions Agree on Wage Agreement
Wage Agreement GermanyEconomist

German Steel Workers Unions Agree on Wage Agreement

Handelsblatt reported that in the collective bargaining for the north-west German steel industry, there is an agreement on a new collective agreement.

Handelsblatt reported that in the collective bargaining for the north-west German steel industry, there is an agreement on a new collective agreement. Employers and IG Metall agreed on Saturday morning one-off payments for the around 70,000 employees in the industry in North Rhine-Westphalia, Lower Saxony and Bremen, as both sides announced. As of June 30, 2021, employees will receive a corona bonus of 500 euros. In addition, the employer and the union agreed on a further one off payment of 600 euros, which will be paid every year from 2023. On the way there, there will initially be 250 euros in December 2021 and a further 250 euros in February 2022. This additional collectively agreed remuneration can also be used to secure employment and converted into free time. The collective agreement runs until May 31, 2022.

Steel Employers Association Chairman Mr Heinz Jörg Fuhrmann said that the collective agreement serves to maintain the company's financial ability to act in the face of the existence-threatening loss of substance in the corona crisis.

IG Metall boss Jörg Hofmann said that under extremely difficult conditions, it was possible to sustainably stabilize the wage development. He said “The steel deal could not simply serve as a blueprint for the on going negotiations for the more than 3.8 million employees in the metal and electrical industry, Hofmann emphasized. The situation in the industries is too different for that.”

The twelve-hour sixth round of negotiations in Düsseldorf, which ended on Friday night, had not yet made a breakthrough, but brought a rapprochement. The North Rhine-Westphalian metal employers had offered a one off payment of 350 euros for the current year and had promised a wage increase for the coming year if the union agrees to a long term of the collective agreement. The union had asked for a volume of 4% for one year, which, depending on the situation in the companies, can be used for wage increases or for measures to safeguard jobs and cope with industrial transformation.

No stories found.
SteelGuru Business News
www.steelguru.com