Business
German metal, electric industries plan Tuesday strikes over wage row, union says
Published by Jessica Weisman-Pitts
Posted on October 28, 2024
2 min readLast updated: January 29, 2026
Global Banking & Finance Review®
Company
Published by Jessica Weisman-Pitts
Posted on October 28, 2024
2 min readLast updated: January 29, 2026
BERLIN (Reuters) – Workers in Germany’s electrical engineering and metal industries will launch strikes on Tuesday to put pressure on employers to increase their pay, according to a statement from the IG Metall union.
Tuesday marks the end of a truce period accompanying collective bargaining negotiations, in which the union has said a proposed pay rise for the 3.9 million workers in key sectors covered by the talks is too low.
The 3.6% raise over a period of 27 months offered by employers’ associations is considerably lower than the 7% sought by IG Metall – a demand criticised by companies as unrealistic amid a general slowdown in German industry.
Germany has been skirting recession for months now. The government is under pressure to reform the economy to regain ground amid fierce competition from abroad, weak demand for exports and structural challenges in its legacy industries.
However, unions point to stubbornly high inflation and the need to attract much-needed skilled labour.
Employees are now returning their constant price pressure at the checkout to the employers via warning strikes,” said IG Metall representative Nadine Boguslawski. “Wage restraint solves nothing, but only exacerbates the country’s problems.”
(Reporting by Rachel More, editing by Kirsti Knolle)
Inflation is the rate at which the general level of prices for goods and services rises, eroding purchasing power. It is typically measured by the Consumer Price Index (CPI) or Producer Price Index (PPI).
Collective bargaining is a process where employers and a group of employees negotiate terms of employment, including wages, working conditions, and benefits. It aims to reach an agreement that satisfies both parties.
A wage raise is an increase in the amount of money an employee is paid for their work. It can be a result of negotiations, performance evaluations, or adjustments for inflation.
A truce period in negotiations refers to a temporary halt in conflict or strikes, allowing both parties to discuss terms without pressure. It is often used to facilitate dialogue and reach an agreement.
Economic reform refers to changes made to improve a country's economic performance. This can include policy adjustments, regulatory changes, or initiatives aimed at boosting growth and competitiveness.
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