2026 Metal and Electrical Industry Collective Bargaining Round We want a 5 percent pay increase, job security, and profit sharing

Collective bargaining negotiations in the metal and electrical industry will begin on October 7. The situation in the workplaces varies greatly: some companies are in crisis, while others are booming. IG Metall aims to strengthen purchasing power and protect jobs. Following the decision by the IG Metall bargaining committees on Tuesday, the IG Metall Executive Board therefore adopted a comprehensive package of demands on Wednesday:

• A 5 percent pay increase. Employees in lower pay grades should see their compensation improved. 

• Collective bargaining guarantees for the future and job security in the metal and electrical industries 

• A collective bargaining-based profit-sharing plan for booming companies 

 “We’re entering the negotiations with a combative yet realistic approach,” says Christiane Benner, President of IG Metall. “Making concessions gets us nowhere. Instead of crisis rhetoric, attacks on social standards, and doom-and-gloom predictions, workers expect secure jobs, compensation for rising prices, and a fair share of corporate profits. We will not accept threats of relocation as a diversionary tactic to cover up management failures.”

According to the union’s surveys, the order backlog is good or very good in two-thirds of companies. The majority also expects a good or very good outlook in the near future. At the same time, IG Metall observes varying, individual situations across the various sub-sectors. For example, orders are booming, particularly among manufacturers of ships, rail vehicles, medical technology, aerospace, and defense equipment. For one-third of companies—particularly in the automotive industry and mechanical engineering—the order situation is poor to very poor. 
 

Collective bargaining solutions for all company situations 

IG Metall’s collective bargaining director, Nadine Boguslawski, emphasizes: “Our package of demands is responsible, fair, and tailored to the situation. We offer—and demand from employers—collective bargaining solutions for a wide range of economic situations: from companies in crisis to those experiencing a boom.”  

“If you want an economic upswing, you need purchasing power,” said Nadine Boguslawski. “Workers are feeling the rise in the cost of living, housing, and healthcare. That’s why a tangible 5 percent wage increase is needed. The domestic economy also needs this support.” In addition, IG Metall intends to review the collective bargaining toolkit to determine whether the instruments for job security and future investments are sufficient in companies facing crises. Boguslawski emphasized: “Employees there are already foregoing collective bargaining benefits to facilitate change and secure jobs.”  

Collective Bargaining Profit Sharing in Booming Companies

As a new issue, IG Metall is demanding profit-sharing for employees in companies with a strong economic position as part of the regional collective bargaining agreement. Boguslawski: “Those who achieve extraordinary success should also share in that success.” 

Union President Benner is offering employers constructive collective bargaining. “Our automotive action day on September 21 showed that workers are ready to fight when it comes to their demands and their future. This allows us to enter the collective bargaining round with confidence, because we are prepared to escalate.” 

The collective bargaining negotiations for the metal and electrical industries, led regionally by the IG Metall districts, will begin on October 7. The peace obligation ends on October 31; warning strikes are possible starting November 1. Over 3.7 million people are employed in the industry.
 

Sixty-three percent of works councils in IG Metall’s sectors report good or very good capacity utilization—six percentage points more than in the fall of 2025. Fifty-eight percent report good to very good prospects for the next three to six months.  

It is striking that even one in six companies with good or very good business prospects is still cutting its permanent workforce. Three years ago, that figure was only 5 percent. Now, contrary to economic necessity, 15 percent of companies are exploiting the situation to cut jobs. 

The IG Metall employee survey conducted this summer among 267,000 employees at 2,287 companies also revealed a highly varied but improved perception of the economic situation: Half describe the situation at their workplace as very good (14.5%) or good (31.7%). One-third (32.2%) rate their own employer as “so-so.” One in five perceives the situation as bad (16.9%) or very bad (4.7%). 

This positive economic outlook is driven by companies in the aerospace, defense, shipbuilding, and energy sectors. In contrast, employees in the automotive industry and the service sector take a more critical view of their companies’ performance.