IG Metall demands 5% wage increase in German metal industry

Wage negotiations for the metal and electrical industries in North Rhine-Westphalia and Baden-Württemberg have commenced, with employers failing to present an initial offer. The union, IG Metall, is demanding a 5 percent wage increase for a twelve-month contract term to compensate for recent high inflation and to ensure income security for workers.

In contrast, employer association Südwestmetall is advocating for relief measures for companies rather than wage hikes, citing intense cost pressures and a threat to competitiveness. The industry is currently facing a significant downturn; Gesamtmetall reports that the sector is entering its third consecutive year of recession, with production levels sitting 15 percent below 2018 levels.

The negotiations affect approximately 3.7 million employees nationwide, including 900,000 in Baden-Württemberg alone. The current peace obligation expires on October 31, after which warning strikes may become possible. The second round of negotiations is scheduled for October 27.