Press Release No. 06/2019 IG Metall: Steel Agreement Brings More Money and Greater Autonomy Over Working Hours

Frankfurt am Main – IG Metall considers the outcome of the negotiations for the 72,000 employees in the steel industry in northwestern Germany to be forward-looking. “As a result, employees will see a significant increase in their real income. In addition, the option to convert the additional collective bargaining bonus of 1,000 euros into days off provides greater autonomy over working hours and alleviates the strain of shift work,” said Jörg Hofmann, President of IG Metall, on Sunday in Frankfurt. “Following the collective bargaining agreement in the metal and electrical industries, we have now taken an important step toward greater autonomy over working hours in the steel industry as well. With the disproportionately large increase in apprenticeship wages, we are also ensuring the competitiveness of steel companies in attracting young skilled workers in times of change.” This outcome was made possible above all by the pressure exerted by the more than 26,000 steelworkers who participated in the warning strike, said the IG Metall chairman.

Under the agreement reached late Saturday night, wages for the approximately 72,000 employees will increase by 3.7 percent starting in March 2019, and a one-time payment totaling 100 euros will be made for the months of January and February. Apprentices will receive a two-stage increase in their apprenticeship wages ranging from 88 euros to 188 euros, depending on their year of training. Starting in 2020, all employees will receive an additional collective bargaining allowance of 1,000 euros, to be paid out on July 31 of each year. This allowance is permanent and linked to wage indexation. Employees may convert this allowance into days off; up to 5 days off are possible.

The collective bargaining agreements on partial retirement, job security, and the use of contract work have been extended. In addition, an agreement was reached to negotiate a collective bargaining provision for dual-track students. The collective bargaining agreement runs through February 28, 2021.