Enthusiasts: Strong wage plus in the metal industry

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- By Ilona Wissenbach

ARCHIV: IG Metall-Flage bei einer Demonstration vor einem Siemens-Werk in Karlsruhe, Deutschland © Thomson Reuters Archive: IG Metall-Flage in a demonstration in front of a Siemens plant in Karlsruhe, Germany

Frankfurt (Reuters)- The tariff dispute in the metal and electrical industry is attached. There is an agreement on wage increases, the IG Metall and the Südwestmetall employers' association in the Baden-Württemberg pilot district said after the fifth round of negotiations on Friday.

is therefore agreed to raise the tariff salaries in two levels by 5.2 percent from June 2023 and 3.3 percent from May 2024. In addition, there is a tax and tax-free flat rate of 3000 euros, withdrawn in two tranches in March 2023 and 2024. The union thus enforced more than in view of the recently increasingly increased inflation rate, but is based on a later entry and a long term of 24 months. IG Metall district manager Roman Zitzelsberger called the result very neatly. "The bottom line is a result that came about with a lot of struggles and violent debates in a difficult time," he said after twelve hours of negotiation. On average, this is an increase of 8,500 euros, including the 3000 euros, over the term of 24 months.

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"In view of the extremely difficult economic situation and the enormous uncertainties, this compromise is certainly painful in many points and absolutely at the border of what we think is just wearable for the majority of our members," said the negotiator of the employer side, Harald Marquardt.

Relief for low return

The collective bargaining was difficult in the face of high inflation and Trüber economic situation in the largest German industry with around 3.9 million employees. IG Metall had asked for an increase of eight percent by twelve months in summer. She justified this with the loss of purchasing power due to the inflation rate that is now ten percent. The employers initially only offered the 3000 euro flat rate over 30 months of term. They only wanted to get involved in one percentage if the union were ready for a long term. Employers described the location of the companies much more critically than IG Metall. They referred to many smaller companies that would have a hard time struggling with high energy and raw material costs and should not be overwhelmed financially.

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, however, according to the union, the majority of companies continue to earn well. The bottom line was that the base is a cost burden for the calendar years 2022 to 2024, which is just wearable for the majority of the companies, Marquardt continued. "Since some of the companies are already doing badly, we are very happy that we have managed to create substantial relief options for these companies." For example, companies with a net turnover return of less than 2.3 percent can move, shorten or delete the long -standing additional money. The sum is also increased from 400 to 600 euros a year. The tariff parties want to react quickly and flexibly to an escalation of the energy crisis.

The employers were relieved that the collective bargaining ended an escalation that has been avoided for almost three weeks of warning strikes. The talks almost failed late Thursday evening, said Südwestmetall negotiator Marquardt. "Nobody has helped with strikes in the current situation," he said. "We have certainly swallowed one or the other toad, but the others didn't get away without toad swallows either."

(Report by Ilona Wissenbach, edited by Bettina Cosima Larrarte. If you have any questions, please contact the editorial management at [email protected])

More than 8.5 percent wage plus in the metal industry .
- By Ilona Wissenbach © Thomson Reuters Archive: IG Metall -Flage in a demonstration in front of a Siemens plant in Karlsruhe, Germany Frankfurt (Reuters) - employer and union in the metal industry, in view of the high inflation rates, agreed on a strong wage increase. The collective bargaining in the Baden-Württemberg pilot district, which is to be taken over nationwide, managed to negotiate on Friday after almost twelve hours. The approximately 3.9 million employees in the largest German indu

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