Enthusiasts More than 8.5 percent wage plus in the metal industry

11:10  18 november  2022
11:10  18 november  2022 Source:   pressfrom.com

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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) - 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 industry get 8.5 percent more money in two steps and 3,000 euros in one -off payment net. IG Metall was able to enforce more than the eight percent required. The employers enforced a long term of two years until September 2024. Payments also only start in spring, which gives the company some air.

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IG Metall district manager Roman Zitzelsberger called the result very neatly. "The bottom line is a result that came about in difficult time with a lot of struggles, with a lot of struggles and violent debates," he said. Nationwide, 900,000 employees had participated in warning strikes for almost three weeks. The agreement was successful at the "seam edge to escalate the conflict", said IG Metall boss Jörg Hofmann. The conclusion brings the employees noticeable relief in view of the increased prices.

"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 Südwestmetall employers' association, Harald Marquardt . Employers rely on quickly overcoming the onset of recession and returning to growth by 2024. The tariff package is an "advance for hopefully better times," explained overall metal boss Stefan Wolf.

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has been 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 In addition, there is a tax and tax-free flat rate for inflation compensation of 3000 euros, withdrawn in two tranches in March 2023 and 2024.

Relief for a 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. In summer, IG Metall had requested an increase of eight percent in twelve months - in autumn, its revenue request would have been even higher in view of more than ten percent inflation rate. 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. The bottom line is that

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is a cost burden for the calendar years 2022 to 2024, which is just wearable for the majority of the companies, Marquardt explained. "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, an intended increase in another special payment is in return. The tariff parties want to react quickly and flexibly to an escalation of the energy crisis.

The employers were relieved that the tariff was avoided an escalation of the warning strikes. In the event of a failure of the negotiation, IG Metall had prepared 24-hour strikes and permanent strike in some districts. The conclusion is a burden, explained overall metal boss Wolf. However, an industrial action would have caused even greater damage. "Nobody has helped with strikes in the current situation," said Marquardt. "We have certainly swallowed one or the other toad, but the others didn't get away without toad swallows either."

(edited by Bettina Cosima Larrarte. If you have any questions, please contact the editorial management at frankfurt.newsroom@thomsonreuters.com)

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