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PRESS RELEASE Future Collective Bargaining Agreement for Alstom: Course Set for Greater Competitiveness in Germany

Joint Press Release from Alstom and IG Metall

IG Metall, Mainforum, Gebäude, Fahnen

9 June 2023 9 June 2023


Frankfurt am Main – Today, IG Metall, the General Works Council, and Alstom announced that they have signed a future collective bargaining agreement that secures jobs and locations in Germany for the next three years, for the time being. The collective bargaining agreement is now in effect; the employer had already signed it last week. With the targeted productivity improvements, production in Germany can continue in the medium and long term. The agreement is contingent on certain economic targets being met over the next few years. 

Müslüm Yakisan, President of Alstom’s Germany, Austria, and Switzerland region: “The future collective bargaining agreement sets the course for greater competitiveness for Alstom in Germany and is therefore a true milestone for us. I would like to express my sincere thanks to all works council members and IG Metall members who contributed to the conclusion of this future collective bargaining agreement. However, it is also clear that further milestones must follow along the way. For all of us, the focus now will be on working toward the goals we have formulated together.”

Jürgen Kerner, IG Metall Executive Board member responsible for the rail industry: “It was a long and, at times, very arduous journey. But it was worth it: Jobs have been saved, and the locations secured. Our colleagues at Alstom played a major role in this success: Without their pressure and determination, this positive outcome would not have been possible. Now the focus is on implementing the forward-looking collective bargaining agreement quickly and consistently.”

René Straube, Chair of the Alstom General Works Council: “This collective bargaining agreement achieves our two most important goals: employment and locations are secured for the time being, and through productivity gains, we will continue to manufacture in Germany in the medium and long term. For our colleagues, however, this ‘Future Collective Bargaining Agreement’ also marks a major turning point, which is why it’s important that the expected successes actually materialize.”

The “Future” collective bargaining agreement contains the following key points:

  • Job Security: The agreement provides for job security for the next three years. In the event of a fundamentally changed economic situation, workforce adjustments are only possible under conditions jointly determined and contractually agreed upon.
  • Reimbursement Mechanism: The financial concessions made by employees amount to a mid-double-digit million figure per year. These consist exclusively of special payments under the collective bargaining agreement and voluntary contributions from the employer. Monthly salaries and alignment with the metal and electrical industry’s pay scale remain unaffected. If performance-based targets are met, the previously withheld special payments under the collective bargaining agreement will be repaid in the following year.
  • Site Specialization and Investments: Each site is assigned a focus area with a clearly defined scope of responsibilities. In addition, two percent of Germany’s annual revenue is invested in the German sites each year to enhance their competitiveness.

Alstom had initiated a restructuring in Germany at the end of 2021 to make Alstom’s German sites more competitive. The “Future Collective Bargaining Agreement” now concluded is the result of a negotiation process that began in December 2021 with talks between management, the works council, and IG Metall. The “Future Collective Bargaining Agreement” has a term of three years and applies to the majority of German sites.

 

About Alstom
Alstom is actively committed to a low-carbon future by developing and promoting innovative and sustainable mobility solutions that people enjoy using. Alstom offers its customers the industry’s broadest product portfolio, which includes high-speed trains, subways, monorails, and trams, as well as turnkey systems and services. Infrastructure, signaling systems, and digital mobility solutions are also part of the portfolio. With a presence in 63 countries and over 80,000 skilled employees representing 175 nationalities, the company focuses its capabilities in design, innovation, and project management where mobility solutions are most urgently needed. Alstom is listed on the French stock exchange and reported revenue of 16.5 billion euros for the fiscal year ended March 31, 2023. For more information, visit www.alstom.com.  

 

Contact
IG Metall Press:
Artur Siemens
Phone: +49 160 5331 782
artur.siemens@igmetall.de

Alstom Press:
Andreas Florez
Phone: +49 174 922 7632
andreas.florez@alstomgroup.com

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