PRESS RELEASE NO. 02/2021 Agreement in the West German textile industry: More money and improvements to partial retirement

Munich – Successful collective bargaining agreement in the West German textile and apparel industry: After a 14-hour marathon of negotiations, IG Metall and employers reached an agreement early Tuesday morning in Munich on a package consisting of wage increases totaling 2.7 percent, a one-time COVID-19 bonus, and other provisions. Accordingly, the nearly 100,000 employees in the industry will receive a tax- and contribution-free one-time payment of 325 euros for 2021. Starting in February 2022, wages and salaries will increase by 1.3 percent, and by an additional 1.4 percent starting in October 2022. Vacation pay will be increased by 2 percent starting in 2022. The new collective bargaining agreement has a term of 25 months.

“Employees have done a great job under enormous strain during the COVID-19 crisis. This agreement is a recognition of that dedication,” said IG Metall’s chief negotiator, Manfred Menningen, on Tuesday in Munich. “Under extremely difficult conditions, we have succeeded in securing a tangible real wage increase. In doing so, we are also boosting purchasing power and thereby contributing to the stabilization of economic development in Germany,” said Manfred Menningen. Apprentices will receive the full COVID-19 bonus of 325 euros. Starting August 1, 2022, apprenticeship wages will increase by 30 euros per month for each year of training.

In addition to the pay increases, the collective bargaining agreement’s partial retirement program will be extended and improved. Employers will contribute more toward the partial retirement allowance: The supplementary payment will increase by 30 euros in July 2021 to 630 euros per month, and to 650 euros in July 2022. In addition, employers will increase their contributions to a fund for training and continuing education in two steps, from 12.50 euros to 15 euros per employee per year.

Last week, nearly 7,000 employees from 65 companies sent a clear message of strength through nationwide warning strikes. “Without their determined efforts during the collective bargaining process, this outcome would not have been possible,” emphasized chief negotiator Manfred Menningen.