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New Professionals What a collective bargaining agreement offers you

When starting your career or changing jobs, it’s worth taking a close look at your new employer. Being covered by a collective bargaining agreement is important—it offers you significant benefits. Find out what they are here.

With a collective bargaining agreement, you get more.


Take permanent employment after your apprenticeship, for example

Permanent employment after your apprenticeship allows you to look to the future with greater peace of mind. You can gain professional experience. You have time to make plans. And you have the money to put them into action. We’ve succeeded in securing permanent employment after apprenticeship in several industries through collective bargaining agreements, making it the standard. Here are a few examples:

Metal and Electrical Industries

Hiring is generally for an indefinite term, but for at least twelve months. All apprentices who are members of IG Metall are entitled to indefinite hiring. Exceptions to permanent employment can only be made if the employer is training more people than needed based on its staffing requirements, or in the event of acute employment problems—such as when jobs at the company are at risk. However, the works council must first approve any deviation from the collective bargaining agreement. In cases of conflict, the decision is made by the collective bargaining conciliation board, where IG Metall and the employers’ association sit together at the table.

Iron and Steel Industry

In the steel industry as well, apprentices are generally hired into permanent positions following successful completion of their training, in accordance with the IG Metall collective bargaining agreement. As in the metal and electrical industries, exceptions may only occur if the employer trains more apprentices than needed or in the event of acute employment problems, but only with the consent of the works council.

Textile Industry

In the textile industry as well, many collective bargaining areas stipulate that apprentices must be hired for at least 12 months. In the East German textile industry, for example, we have just secured permanent employment for apprentices.

In the dry-cleaning industry, the rule is that apprentices must be hired for at least one year after completing their training.

Wood and Plastics Processing Industry

In the wood and plastics industry, a 12-month collective bargaining obligation to hire trainees generally applies.

Automotive Industry

Here, hiring is also regulated by a collective bargaining agreement with IG Metall. This agreement provides for a fixed-term employment contract of twelve months. However, the collective bargaining agreement applies only to companies with 50 or more employees, and there are also exceptions.

Other Skilled Trades Sectors

In many other skilled trades sectors, IG Metall has secured permanent employment for apprentices, often on an indefinite basis. Ask your youth and apprentice representative, your works council, or your local IG Metall chapter.


Collective bargaining agreements also pay off when it comes to starting salaries

When starting your career—and whenever you change jobs—it’s worth taking a close look at your new employer. An important factor is whether the company is bound by a collective bargaining agreement: Does the company have a collective bargaining agreement with IG Metall?

Collective bargaining agreements ensure you earn more money. And the higher rate of pay increases is another plus: Salaries under collective bargaining agreements rise by an average of ten percent in the first year after starting a career, without the need for additional individual negotiations. They then continue to rise steadily as your career progresses and as a result of further successful collective bargaining rounds.

Collective bargaining agreements also pay off for college graduates: Engineers in companies bound by collective bargaining agreements earn about 18.5 percent more, while economics graduates earn as much as 24.6 percent more. In addition, there are many other benefits such as vacation pay, a Christmas bonus, a company pension plan, and allowances. And more vacation time —most collective bargaining agreements stipulate six weeks per year.

By comparison, the law requires only four weeks per year. Employees in businesses and companies covered by a collective bargaining agreement are placed into pay grades. The job performed at the future workplace determines the pay grade. To ensure fairness, the works council monitors the proper application of collective bargaining agreements and has a say in the assignment of pay grades and the payment of wages.

However, only our members have a legal entitlement to benefits under collective bargaining agreements.

Better with a Collective Bargaining Agreement
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