Agreement among the metallers

Even before the start of yesterday’s round of negotiations among the metallers, confidence was spread, and in the evening the breakthrough was achieved after eight rounds of negotiations. Employer and employee representatives agreed retroactively to November 1st on a 10 percent increase in wages and salaries, although capped at 400 euros. This means that from 4,000 euros gross, the percentage increase drops – for top earners it is even well below the rolling inflation, which was 9.6 percent from September 2022 to August 2023. On average, the increase for all employee groups in the metal technology industry is 8.6 percent.

The staggering means that lower income earners get 10 percent more. The increase of 10 percent applies up to a gross income of just under 4,200 euros, after which it tapers off. At just under 8,000 euros it is 5.5 percent gross.

Completed over 2 years for the first time

For the first time, a deal was reached over two years: For 2024, it is planned that wages and salaries will be increased by one percent based on the average consumer price index. Employer representative Christian Knill spoke of a fair and innovative solution. The initial conclusion over two years creates planning security for the companies.
Negotiations are currently taking place in other sectors: In the security industry, an agreement was reached after three rounds: the minimum wages and allowances will rise by 9.2 percent.

Strikes in Linz trade

With the deal with the metallers, the Gordian knot will soon be untied in the trade as well. According to reports, both sides wanted to wait and see what the autumn conclusion would look like.
For now, the warning strikes in retail continue. After strikes in Salzburg companies yesterday, things continue today, Friday, in Linz: From seven to eight o’clock there will be a strike at the Billa branch in the Franckviertel on Lonstorferplatz. According to the union, this branch is particularly busy in the morning hours.
From 9 a.m. onwards, customers at the Thalia bookstore chain’s headquarters on Landstrasse must expect service restrictions. There will be a strike at this location until eleven o’clock.

First reactions to the Metaller graduation

This agreement was preceded by an aggressive tone from the unions, strikes, road blockades and the threat of a general strike, according to the Upper Austrian Chamber of Commerce. “The enormously exaggerated initial demands of the unions and the call for an inflation adjustment to the detriment of our companies caused the climate of discussion to sink to a low point right from the start. It is more than creditable to the negotiators on the employer side, especially Christian Knill, that they maintained their composure during these difficult weeks,” said WKOÖ Vice President Clemens Malina-Altzinger.

He looks forward to the coming months with concern. “Compared to Germany and Europe, the result of the negotiations is a further, massive deterioration in competitiveness. In view of the recession and overinflation in Austria that has been going on for months, as well as a growth forecast for the coming year of just over 1 percent, many traditional production companies already have their backs to the wall in terms of their competitiveness. The current KV agreement brings with it further enormous cost increases that will not be easily bearable.” Politicians are now called upon to initiate investment measures and subsidies in order to avert greater damage to Austria as a production location, said Malina -Altzinger.

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