In the steel industry, thousands of people have taken to the streets in recent weeks to increase the pressure on employers. But there will be no further escalation of the wage conflict.
After difficult negotiations and warning strikes, IG Metall and the employers have agreed on a new collective agreement for most of the German steel industry.
On August 1, wages and salaries are to rise by 6.5 percent, as announced by the trade union and the steel employers’ association in Düsseldorf. The contract runs for 18 months and starts in June. For the first two months, employees receive a total of 500 euros as a one-time payment, trainees 200 euros.
The collective agreement applies to North Rhine-Westphalia, Lower Saxony and Bremen, where 68,000 people work in the industry. The collective bargaining partners in East Germany are likely to adopt the guidelines. In order for the collective agreement to become valid, the approval of the collective bargaining committee of IG Metall is still required. In the coming weeks, a picture of the mood in the workforce will be obtained in the companies, after which the union should give its final commitment – that this will happen is considered almost certain. The employer side has already approved the paper.
Warning strikes in numerous cities
In the past few weeks, thousands of workers in cities such as Salzgitter, Bremen, Bochum and Duisburg have taken part in warning strikes to persuade employers to give in. They had recently offered an increase of 4.7 percent for a term of 21 months. IG Metall, on the other hand, had asked for 8.2 percent more money for a one-year term. After a nine-hour fourth round of negotiations, the parties to the bargaining agreement met early on Wednesday morning, roughly speaking, in the middle of these positions.
Gerhard Erdmann, executive board member of the Steel Employers’ Association, said after the agreement that the tariff increase was “on the upper edge of what is just acceptable”. It is hoped that the economic risks – such as the global supply chain problems and the consequences of the Ukraine war – will not have a full impact on the steel industry. “Should that happen, the collective bargaining partners must find solutions.”
Biggest increase in 30 years
The IG Metall district leader NRW Knut Giesler was satisfied. “In times of high inflation, we have achieved a negotiation result that immediately brings a significant increase of 6.5 percent in the purse of employees.” It is the highest percentage increase in the steel industry in 30 years. “With this result, the employees get their rightful share in the currently very good economic situation in the industry.”
The old, expired collective agreement was agreed in March 2021, when IG Metall put the volume of the increases at around two percent and spoke of real wage increases. A look back shows how times have changed: Back then, inflation wasn’t a big issue – it’s completely different today.
Source: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
