Workplace Report (January 2000)

Features: Europe

Hard bargaining in Germany

This year's pay talks in Germany are likely to be difficult. Germany's largest union IG Metall has already put forward two separate claims worth 5.5%, for the 3.4 million employees in the metalworking industry and for the 360,000 in the wood and plastics industry, in which it also organises. The unions wants part of the increase to be for pay rises and part to finance retirement at 60 for those with long service.

Gesamtmetall, the main employers' association in metalworking has already rejected the demand, suggesting that 2.6% is all that it is available and stating that it expects a rough ride in negotiations. The HBV banking union followed IG Metall with a similar 5.5% demand for workers in banking, where last year's settlement is still disputed. Inflation in Germany is currently 1.1% (November).

The euro was worth 62p as at 17 January 2000.


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