Industrial crisis: IG Metall boss: Europe’s industry must become more independent

IG Metall boss Christiane Benner has called for a decisive industrial policy at the European level. “Europe and its industry must become more independent of China and the USA,” said the first chairwoman of Germany’s largest individual trade union of the German Press Agency (dpa). In view of Chinese state capitalism and the plans of US President-elect Trump, it is naive to believe in the free market in this context.

The European states must agree bindingly on industrial projects and also attract external investments, says Benner. The focus should be on digitization, low energy costs and relieving companies of bureaucratic requirements while adhering to climate goals. Funding would have to be made dependent on the highest possible added value within the EU.

As a result of the upcoming federal election, Benner would like to see a stable federal government that, if possible, will only be made up of two coalition partners. In this way, the necessary steps could be implemented more easily, says the trade unionist. In the last few months of the traffic light made up of the SPD, Greens and FDP, politics “no longer worked properly” and opportunities were missed.

When it comes to specific domestic measures, there is more of an implementation problem than a lack of the right knowledge, says Benner. There is a risk of de-industrialization if it is not possible to supply companies with inexpensive energy very quickly. Consumers also need a noticeable reduction in electricity prices, also so that electromobility can make progress. In addition, the charging infrastructure must be expanded more quickly.

Looking at the German auto industry, Benner sees a number of management errors, such as botched digitalization and the lack of development of cost-effective electric models. Many years ago, IG Metall called for battery production, with its high added value, not to be dispensed with in electric cars.

Not everything is lost yet, because Germany and Europe can build on a variety of advantages. This included well-educated people, strong and innovative medium-sized companies and co-determination. From Benner’s point of view, the next two years are crucial: “Nothing will be good on its own!”

IG Metall achieved a collective agreement result for the metal and electrical industries that was in keeping with the times. The special contribution for the trainees, who were very committed, was particularly pleasing. Now it is up to companies to secure jobs and invest in Germany. “We now expect firm commitments to the location.”

The IG Metall boss is not worried about her own troops, even though few new people are currently being hired in the companies. “We have a plan and we are capable of conflict. We also have effective and highly competent works councils in the companies.”

Germany’s largest union will not report on the exact development of membership numbers until its annual press conference on January 27th. For the time being, Benner just states that there is a very good number of young members.