Stuttgart – The mechanical engineering industry is facing a profound transformation. “Digitalization and the ecological transition will pose unique challenges for the industry. We see it as our responsibility to prevent this transformation from having negative consequences for workers. This requires effective dialogue between companies, unions, and workers worldwide. For us, people are at the center,” said Valter Sanches, General Secretary of IndustriALL Global Union, at the World Conference on the Machinery Industry on Wednesday in Stuttgart.
At this conference, organized by IndustriALL Global Union, 86 women and men from 19 countries are discussing the global outlook for the machinery manufacturing industry. IndustriALL Global Union is the global federation of unions in the metal, chemical, pharmaceutical, and textile industries, as well as mining.
“Safe work, good working conditions, and worker participation must not fall by the wayside in the midst of transformation and globalization,” demanded Wolfgang Lemb, Executive Board Member of IG Metall. Transformation must not be used to cut costs and spark a race to the bottom at the expense of workers. Lemb called for a strengthening of industrial policy to promote investment in climate-friendly technologies.
Globalization in the mechanical engineering sector will continue to gain momentum. Growth markets are shifting. Above all, the U.S. and China are becoming increasingly important as sales markets for mechanical engineering companies.
“Globalization is taking place in an uncertain environment. Risks arise from trade conflicts and Brexit. Companies must navigate the transformation, produce in a climate-friendly manner, and offer prospects to all employees in the process. These challenges hit Baden-Württemberg, as an export region, particularly hard,” said Roman Zitzelsberger, IG Metall district director for Baden-Württemberg. With digitalization and the emergence of e-commerce platforms, business models and customer relationships are changing. Competition is intensifying, and successful machinery manufacturers are becoming targets for foreign investors.
In addition to works council members from traditional mechanical engineering hubs such as Austria, Germany, the U.S., and Japan, employee representatives from countries such as Indonesia, India, and Brazil are also present. “Companies are operating on an increasingly global scale. Therefore, it is essential that we, as unions and works councils, also network globally and work together in solidarity across national borders. We must shape globalization in the interests of workers,” explained Rainer Wimmer, Sector Chair for Mechanical Engineering at IndustriALL Global Union and National Chair of the Pro-Ge production workers’ union in Austria.
In Germany, 1.1 million women and men are employed in the machinery manufacturing sector. German machinery manufacturers account for 11 percent of global revenue. China’s share is 36 percent, North America accounts for 14 percent, Europe (excluding Germany) for 20 percent, and Asia (excluding China) for 17 percent. Global revenue in the machinery manufacturing sector stands at 2.555 trillion euros.
