First wage round for East German textile workers without result

The first wage round in the East German textile industry ended on Tuesday without a result. “We received an offer that is currently not negotiable,” said Stefanie Reimer, chief negotiator at IG Metall.

A closing period of three years was proposed in order to increase planning ability for companies and to minimize burdens, said Jenz Otto, general manager of the Association of the North-East German Textile and Clothing Industry.

The union is demanding 6 percent more money and an increase in the annual bonus to western levels. “We have made it clear that we need to compensate for inflation, which in the current crisis cannot be done on the backs of the employees alone,” explained Reimer. The offered completion period of three years is very long and difficult to explain to the employees. For example, the economic consequences of the war in Ukraine over this period are difficult to assess.

Against the background of the war, Otto spoke of “unmanageable risks” for the companies. In addition, companies face challenges such as rising energy prices. Many see no economic development opportunities at the moment. “That’s why we were very cautious about our offer – but that hasn’t convinced the union yet.”

However, both parties emphasized that they want to continue negotiations. The next round of negotiations is scheduled for March 29th. According to the information, the industry has around 16,000 employees in eastern Germany. Many companies are not bound by collective bargaining agreements, but are based on the agreements, it said. (dpa)

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