Berlin – IG Metall has outlined requirements for the future of the mechanical and plant engineering sector. The industry must continue to play its vital role in economic and employment policy development. “The sector is called upon to continue operating as a high-tech industry. It must not fall behind in the digital transformation of industry,” said Jörg Hofmann, President of IG Metall, at the Mechanical Engineering Conference on Thursday in Berlin.
Hofmann criticized the idea of moving away from high product quality in the industry, calling it a failed strategy in the face of growing global competition and one that would come at the expense of local jobs. Germany’s largest industrial sector cannot win the low-cost competition. It must play to its strengths in the race for quality in order to remain globally competitive. These strengths include skilled labor paid according to collective bargaining agreements, high levels of research and development investment, and integrated value chains. The excellent environment at universities and research institutions in the regional industrial clusters complements these strengths.
The fact that cutting-edge technology in the industry is highly attractive is evident, among other things, in the growing interest of Chinese investors in leading German companies, said Wolfgang Lemb, the executive board member of IG Metall responsible for the mechanical engineering sector. Contrary to frequently expressed concerns, investors from the Far East accept German co-determination and also appreciate the value of collective bargaining agreements.
Lemb sees shortcomings in the mechanical and plant engineering sector when it comes to “green tech” products and systems. The industry must generate more growth in this area. “Above all, the large-scale projects involved in the transformation of industrial society in the context of electromobility and the energy transition, as well as cross-cutting technologies such as lightweight construction, resource-efficient microsystems technology, and combined heat and power, offer growth areas for which products and systems have so far been developed only to an insufficient extent,” said Lemb.
Another challenge is evident in the industry’s demographic trends. “The mechanical engineering sector, which acts as a leader in many fields, faces the threat of collective aging and a decline in innovative strength. With the average age of employees nearing 50, there is an urgent need for forward-looking strategies to ensure the supply of skilled workers,” said Lemb.
IG Metall has secured funding from the Federal Ministry of Labor and the European Social Fund to develop such strategies. In this way, it supports mechanical and plant engineering companies that aim to navigate the demographic shift through practical projects.
