Germany
Background information on industrial relations in Germany
- 28 Dec 1998
Germany: 700 companies covered by 1976 Co-determination Act<#PDF_LINK>Recent figures show that the number of companies covered by Germany's 1976 Co-determination Act has stagnated at just over 700 since a post-unification increase in 1992. In 1997, 705 companies had this form of board-level employee participation, of which 388 had the legal status of a public limited company and 292 were private limited companies.
- 28 Dec 1998
Germany: Package deal agreed at Arcor<#PDF_LINK>In November 1998, the German telecommunications company Arcor and the GdED railworkers' union signed a package of nine collective agreements, the first to be concluded in the firm.
- 28 Dec 1998
Germany: 520 new jobs agreed at Dasa Airbus<#PDF_LINK>In December 1998, management, works councils and the regional branch of the IG Metall trade union agreed on the creation of 520 jobs at DaimlerChrysler Aerospace Airbus in Germany.
- 28 Dec 1998
Germany: European Metalworkers' Federation adopts European coordination rule for national bargaining<#PDF_LINK>At its third collective bargaining conference, held in December 1998, the European Metalworkers' Federation (EMF) adopted a political resolution on "collective bargaining with the euro", which for the first time contains a number of guiding principles for national collective bargaining in order to prevent downward competition on wages and working conditions. According to the new "European coordination rule," national collective agreements should seek at least to offset the rate of inflation and ensure that employees' incomes reflect a balanced participation in productivity gains.
- 28 Dec 1998
Germany: Municipal pact for jobs in Wuppertal local administration<#PDF_LINK>In December 1998, the collective bargaining parties in the municipality of Wuppertal, Germany, signed a pact for jobs which foresees the creation of new employment through individual working time reduction, an improved distribution of work and the extension of state-sponsored employment at local level.
- 28 Dec 1998
Germany: New agreements signed in east German chemicals industry<#PDF_LINK>In December 1998, the social partners in the east German chemicals industry concluded new collective agreements which provide for a two-stage pay increase totalling 6.1%.
- 28 Dec 1998
Germany: Tripartite agreement establishes national alliance for jobs<#PDF_LINK>In December 1998, the first tripartite talks held under the aegis of Germany's new "red-green" government led to the establishment of a new "alliance for jobs", which will take the form of a permanent body made up of representatives of government, trade unions and employers' associations.
- 28 Dec 1998
Germany: 1998 Annual Review for Germany<#PDF_LINK>This record reviews 1998's main developments in industrial relations in Germany
- 28 Nov 1998
Germany: German social partners set out priorities and demands for German EU Presidency<#PDF_LINK>The German government will hold the EU Council Presidency in the first six months of 1999. In late 1998, the German social partners issued their positions, priorities and demands for the Presidency.
- 28 Nov 1998
Germany: Internet strike at the GMD FIRST institute<#PDF_LINK>October 1998 witnessed the start of what may have been the first "internet strike", at the GMD FIRST research institute in Berlin, Germany. Employees were protesting against the threat of wage cuts.
- 28 Nov 1998
Germany: BASF, IG BCE and the Bertelsmann Foundation establish initiative for employment<#PDF_LINK>In October 1998 in Germany, BASF, IG BCE and the Bertelsmann Foundation established an "initiative for employment", which includes the setting up of regional networks to boost local employment.
- 28 Nov 1998
Germany: The significance of the new red-green government for German industrial relations<#PDF_LINK>In October 1998, the Germany's new "red-green" (Social Democrat/Green) federal government presented its coalition agreement, which determines its political programme for the next four years. In the field of industrial relations, the new government's programme contains various legal and political initiatives for a more active labour market policy, fairer conditions on the labour market and improved employees' rights. The new administration's most important project is the establishment of a new "alliance for jobs" as a permanent tripartite institution at national level. However, since employers' associations and trade unions have rather different views on the new government's policy, the construction of such a national employment pact is still uncertain.
- 28 Nov 1998
Germany: Employers propose changes to banking collective agreements<#PDF_LINK>In November 1998, the German banking employers' association issued a five-point programme for the reform of the sector's collective agreements, aimed at obtaining greater flexibility and adaptability in order to meet growing competition.
- 28 Oct 1998
Germany: Results of the 1998 works council elections<#PDF_LINK>The results of Germany's 1998 works council elections clearly indicate the high level of employee acceptance of works councillors as their representatives, and of the "works constitution" system as a whole. Despite losses, the DGB remained by far the most influential of the trade union confederations, with 62% of works councillors and 73% of works council chairs affiliated to its member unions. However, the results also confirm the trend away from union towards non-union representation within works councils.
- 28 Oct 1998
Germany: Collective agreement on telework signed at Deutsche Telekom<#PDF_LINK>In October 1998, the German postal workers' union, DPG, and the telecommunications companies, Deutsche Telekom and T-Mobil, signed a comprehensive collective agreement on telework. The agreement regulates general preconditions for telework, terms and conditions of employment, monitoring of performance and behaviour as well as trade union rights.
- 28 Oct 1998
Germany: Agreement in eastern metalworking<#PDF_LINK>In September 1998, Gesamtmetall and IG Metall agreed on a number of provisions for the east German metalworking sector. West German wage agreements will be adopted with a delay of one month and western partial retirement provisions will be adopted in 1998. Existing "hardship clause" provisions will be extended, while the 38-hour working week will remain in place until the end of 2000.
- 28 Oct 1998
Germany: New pact for jobs at Deutsche Bahn AG<#PDF_LINK>In October 1998, the bargaining parties in the German railway sector concluded a new agreement which guarantees that there will be no redundancies at Deutsche Bahn AG before the end of 2002.
- 28 Oct 1998
Germany: Unions in Benelux and Germany favour close transnational coordination of bargaining policy in EMU<#PDF_LINK>In September 1998, Belgian, Dutch, German and Luxembourg trade unions adopted a joint declaration which states a strong need for close cross-border coordination of collective bargaining under EU Economic and Monetary Union. In order to prevent possible downward competition on wages and working conditions, the unions involved agreed on a set of joint bargaining guidelines. These state that unions should seek bargaining outcomes at least equivalent to "the sum total of the evolution of prices and the increase in labour productivity".
- 28 Oct 1998
Germany: Trade unions call for a U-turn in pay policy in 1999<#PDF_LINK>In October 1998, several German trade unions called for a U-turn in pay policy in the forthcoming 1999 bargaining round. After several years of moderate wage increases, the unions are demanding an "end of modesty" to strengthen employees' purchasing power and thereby overcome the weakness of internal demand which is seen as a major cause of high unemployment in Germany. In contrast, employers' associations are asking the unions to continue with pay moderation, arguing that any growth in labour costs would have negative effects on the labour market.
- 28 Oct 1998
Germany: General elections in Germany - how trade union members voted<#PDF_LINK>In September 1998, more than two-thirds of trade union members voted for a political change in Germany's general election, while only a quarter supported the governing coalition.
- 28 Sep 1998
Germany: Above-average number of potential far-Right voters among union members<#PDF_LINK>Trade union membership does not automatically prevent people from voting for a political party on the extreme Right. On the contrary, according to a study published in August 1998, about 11% of German trade union members could imagine voting for a far-Right or fascist organisation, in comparison with 7% of non-union members.
- 28 Aug 1998
Germany: Income levels in eastern Germany approaching western levels<#PDF_LINK>A 1998 study by the Institut der deutschen Wirtschaft Köln finds that income levels in eastern Germany have already come close to western levels.
- 28 Aug 1998
Germany: Innovative package deal in the Lower-Saxony metalworking sector<#PDF_LINK>On 22 July 1998, the social partners in the Lower-Saxony metalworking industry agreed on an innovative package deal which includes the foundation of a "joint society" for the promotion of employment.
- 28 Aug 1998
Germany: Third Act on capital participation passed<#PDF_LINK>In July 1998, Germany's third Act on "capital participation" was passed, partially amending the provisions of the Act Promoting Capital Formation by Employees. The new provisions aim at increasing the share of employees in productive capital.
- 28 Aug 1998
Germany: Danish, German, and Swedish unions set up interregional council for Southern Baltic Sea<#PDF_LINK>In August 1998, German, Danish and Swedish trade unions set up an interregional union council for the "Southern Baltic Sea" area.
- 28 Aug 1998
Germany: Unions present detailed proposals for renewal of Works Constitution Act<#PDF_LINK>In February 1998, after several years of discussion, the federal executive of Germany's DGB trade union confederation concluded detailed proposals for a renewal of the 1972 Works Constitution Act. The proposals were approved by the DGB federal congress in June 1998 and published in a brochure. Referring to radical economic, technological and organisational changes at the workplace and in production processes, the DGB sees a great need for a modernisation and extension of co-determination rights at the level of the establishment.
- 28 Jul 1998
Germany: Teachers' union abandons talks over new service sector organisation<#PDF_LINK>In July 1998, the German Teachers and Science Union (GEW) abandoned talks with five other German trade unions on the creation of a new single service sector union organisation.
- 28 Jul 1998
Germany: Research examines gap between actual and collectively agreed wages in 1997<#PDF_LINK>Recent research shows that in 1997, 17% of private establishments in eastern Germany and 49% in western Germany pay more than the collectively agreed wage rate, the average "wage gap" in these firms being 11.4%. This feature summarises the key findings of the analysis.
- 28 Jul 1998
Germany: Interim review finds Bavarian employment pact successful<#PDF_LINK>On 1 July 1998, Bavaria's tripartite employment pact was reviewed by all parties involved and found successful. From June 1996 to June 1998, 153,000 jobs were saved and another 52,000 created.
- 28 Jul 1998
Germany: Territorial employment pacts in Germany - the example of Zeitz<#PDF_LINK>According to a recent study by the Institute for Economics and Social Science (WSI), there were nine "territorial employment pacts" in Germany which were officially recognised by the European Commission in 1997. The most prominent of these pacts is probably that at Zeitz, which has Germany's highest regional rate of unemployment.
- 28 Jul 1998
Germany: Agreement on the changeover to the euro in metalworking<#PDF_LINK>In June 1998, the bargaining parties in the German metalworking industry signed a new agreement which determines a procedure for the changeover from the Deutschmark to the euro within collective agreements.
- 28 Jun 1998
Germany: DGB quits Employment Alliance for eastern Germany: a chronology of failure<#PDF_LINK>In May 1998, the DGB trade union confederation quit the Employment Alliance for eastern Germany. Nevertheless, DGB and the Social Democrats are demanding a national-level employment alliance for the period after the general elections in September 1998. This feature summarises chronologically the development of the Employment Alliance for the east, as well as the latest proposals for a new national alliance.
- 28 Jun 1998
Germany: Ostmetall and Christian Metalworkers' Union conclude innovative package of agreements<#PDF_LINK>In May 1998, Ostmetall, the eastern German metalworking employers' association, and the Christian metalworkers' union, CGM, concluded a package of collective agreements known as "Phönix".
- 28 Jun 1998
Germany: First collective agreement at Otelo telecom company<#PDF_LINK>In June 1998, a first framework agreement on employment conditions was signed by trade unions and management at the German telecommunications company Otelo.
- 28 Jun 1998
Germany: Report assesses co-determination and recommends modernisation<#PDF_LINK>In May 1998 the "Commission on co-determination" published its final report, which gives a broad evaluation of existing co-determination practices in Germany. Co-determination is seen as a major pillar of German industrial relations, which supports the development of a cooperative and employee-oriented company culture and thereby creates an important factor in the high level of competitiveness of German companies. In recent years, however, the number of employees in companies with co-determination structures has been declining. Therefore, the Commission sees a need for a continuous improvement of co-determination practices and elaborates various recommendations for modernisation.
- 28 Jun 1998
Germany: German social partners react to UK Presidency's proposal for European Company Statute<#PDF_LINK>In April 1998, German employers' associations and trade unions published their standpoints on the recent proposals made by the UK Presidency of the European Union on the worker involvement provisions of the draft European Company Statute. The social partners' statements, as always, displayed diverging points of view on the form and scope of worker involvement in the European Company.
- 28 Jun 1998
Germany: Differences persist in holidays and holiday bonuses in 1998<#PDF_LINK>In 1998, significant differences persist in collectively agreed holiday bonuses between various sectors, as well as between western and eastern Germany, according to research by the Institute for Economics and Social Science.
- 28 Jun 1998
Germany: Preliminary results of the 1998 works council elections<#PDF_LINK>A large majority of the works councillors elected in around 33,000 German companies in spring 1998 are members of trade unions affiliated to the DGB confederation.
- 28 Jun 1998
Germany: Volkswagen sets up a world group council<#PDF_LINK>In May 1998, the Volkswagen group board and its European Works Council agreed the foundation of a "world group council", which will include employee representatives from Volkswagen subsidiaries all over the world.
- 28 May 1998
Germany: Out-of-court deal allows unpaid extension of weekly hours at Viessmann<#PDF_LINK>On 9 March 1998, the Hessen regional metalworking employers' association and the IG Metall trade union reached an out-of-court arrangement in a case relating to the Viessmann company. The company agreement struck by the associations includes an "opening clause" which permits the unpaid extension of weekly working hours at the firm through individual employment contracts.
- 28 May 1998
Germany: German employers set out basic positions on European social policy<#PDF_LINK>In spring 1998, the main German employers' organisation, BDA, published a statement setting out its positions regarding European social policy.
- 28 May 1998
Germany: Agreement on maintenance of production location and employment at Hoechst Marion Roussel<#PDF_LINK>In early May 1998, an agreement on the maintenance of production in Germany and on employment was struck at the Hoechst Marion Roussel pharmaceuticals company.
- 28 May 1998
Germany: New IG Metall initiative demands further reduction in working time<#PDF_LINK>In May 1998, Germany's IG Metall trade union presented a new "initiative on employment and working time policy" which contains several proposals for further working time reductions. In the short term, the metalworkers' union demands the introduction of the 35-hour week in eastern Germany, a reduction of overtime and the encouragement of part-time work and partial retirement until the year 2001. From 2001, the union will call for a further general working time reduction of 10%, either by the introduction of the 32-hour week or by a reduction of annual working time to 1,400 hours.
- 28 May 1998
Germany: German Government presents its National Action Plan on Employment<#PDF_LINK>In April 1998, the German Government presented its National Action Plan on employment, which contains a broad range of economic, financial, education and labour market policy initiatives aimed at realising the EU Employment Guidelines for 1998.
- 28 May 1998
Germany: Industrial relations aspects of the Daimler-Chrysler merger<#PDF_LINK>After Germany's Daimler-Benz AG and USA-based Chrysler Corporation announced the largest industrial merger in history in May 1998, the affected trade unions - the German IG Metall and the American UAW - started joint talks aimed at establishing new institutional forms of cooperation at the merged Daimler-Chrysler company.
- 28 May 1998
Germany: New agreements signed in west German chemicals industry<#PDF_LINK>In May 1998, the collective bargaining parties in the west German chemicals industry agreed on a 2.4% wage increase, a further one-off payment of 1.1% of annual pay, a 5% increase in the number of vocational training places and new provisions for partial retirement and additional pension schemes.
- 28 Apr 1998
Germany: Post-merger agreement on co-determination at Thyssen Krupp<#PDF_LINK>In March 1998, Germany's Thyssen AG and Krupp Hoesch AG steel companies, their works councils and the IG Metall trade union concluded a bundle of agreements concerning industrial relations issues arising from the Thyssen Krupp merger.
- 28 Apr 1998
Germany: New conflict resolution procedures discussed for labour disputes<#PDF_LINK>A recent analysis of international labour dispute data for the period 1970-96 shows that the volume of industrial action was relatively low in Germany compared with other countries. Furthermore, Germany has seen a general decline in labour dispute over the last three decades. Nevertheless, in March 1998, employers launched discussions on a reform of conflict resolution procedures in the metalworking sector.
- 28 Apr 1998
Germany: Collective agreement for the western German construction industry<#PDF_LINK>On 16 April 1998, the collective bargaining parties in western Germany's construction industry concluded a collective agreement which includes a 1.5% pay rise.
- 28 Apr 1998
Germany: New collective agreements signed in public services<#PDF_LINK>In April 1998, new collective agreements were concluded for the 3.3 million employees in the German public services. The agreements are based on proposals made in the joint dispute resolution procedure called after the negotiations had broken down. The new agreements include a 1.5% wage increase, a further adjustment of east German wages to western levels, the safeguarding of 100% continued payment of remuneration in the event of sickness, the introduction of partial retirement and, for the first time, the introduction of an employee contribution to the occupational pension scheme.
- 28 Apr 1998
Germany: Cooperation agreement between German and Italian construction unions<#PDF_LINK>In March 1998, German and Italian construction workers' trade unions signed an agreement on closer cooperation and mutual recognition of union membership.
- 28 Apr 1998
Germany: New collective agreement for Siemens AG outsourced companies<#PDF_LINK>In April 1998, Siemens AG and the IG Metall trade union agreed on the conclusion of a new "supplementary" collective agreement for some "outsourced" Siemens companies in industry-related services in Germany.
- 28 Apr 1998
Germany: Hours cuts agreed in east German soft drinks industries<#PDF_LINK>In March 1998, the collective bargaining parties in the east German soft drinks industries agreed on a reduction in weekly working time from 40 to 38 hours.
- 28 Mar 1998
Germany: Company-level bargaining gains importance<#PDF_LINK>New figures on the development of German collective bargaining structures up to 1997 provide evidence of the increasing importance of company-level bargaining.
- 28 Mar 1998
Germany: Membership of DGB-affiliated unions falls again<#PDF_LINK>According to the latest figures from the DGB trade union confederation, membership of its affiliated trade unions dropped another 350,000 in 1997 to stand at 8.6 million.
- 28 Mar 1998
Germany: Non-wage labour costs up in 1997<#PDF_LINK>An analysis by the Institut der deutschen Wirtschaft shows that, although the ratio of non-wage labour costs to direct compensation fell, non-wage labour costs in Germany increased again in 1997.
- 28 Mar 1998
Germany: Court rules that union employees may form their own trade union<#PDF_LINK>In February 1998, Germany's Federal Labour Court ruled that employees of trade unions are allowed to form their own trade union.
- 28 Mar 1998
Germany: Innovative agreement on partial retirement in the steel industry<#PDF_LINK>On 2 March 1998, the social partners in the German steel industry signed a new framework agreement on employment conditions which permits the conclusion of company agreements on partial retirement.
- 28 Mar 1998
Germany: New metalworking employers' associations in eastern Germany<#PDF_LINK>In March 1998, the metalworking employers' associations in the eastern German federal states of Saxony, Saxony-Anhalt and Thuringia founded a new employers' association, Ostmetall.
- 28 Mar 1998
Germany: Unions and employers set out policies for forthcoming general election<#PDF_LINK>In the run-up to Germany's general elections in September 1998, both trade unions and employers' associations are trying to exert influence on the forthcoming election debates. While the unions are demanding a fundamental shift in German politics and giving more or less open support to the opposition parties, the employers' associations have expressed their wish to continue with the politics of the current Government.
- 28 Mar 1998
Germany: Provisions on working time accounts in collective agreements<#PDF_LINK>According to a study by the Institute for Economics and Social Science (WSI), published in February 1998, there are numerous collectively agreed provisions on the introduction of "working time accounts" in Germany, which have become a major instrument for flexible working time arrangements.
- 28 Mar 1998
Germany: Unions agree further steps towards combined service sector union<#PDF_LINK>In February 1998, six German trade unions published a draft of a common "political platform" which provides concrete details of the plans for the establishment of a new single union organisation in the service sector.
- 28 Mar 1998
Germany: Debis AG agreement a first in industry-related services<#PDF_LINK>With the conclusion of a collective agreement at Debis AG - the services company of Daimler-Benz - in March 1998, the bargaining parties have started to open up a new bargaining area for Germany's "industry-related services" sectors. Up until now, companies in these economic sectors have either been covered by the collective agreements of the industry to which they are related, or have often not been covered by any agreement at all. Both parties hope that the Debis agreement could become an example for other companies in these sectors.
- 28 Feb 1998
Germany: IG Metall membership falls yet again<#PDF_LINK>According to the latest figures, in 1997 the membership of the German metalworkers' union, IG Metall, dropped below the 1989 pre-unification level.
- 28 Feb 1998
Germany: Nationwide protests as unemployment reaches new record high<#PDF_LINK>At the end of January 1998, German unemployment reached a new post-war record high, with 4.8 million people registered as unemployed. The announcement of the latest unemployment figures were accompanied by nationwide protests by jobless people all over Germany.
- 28 Feb 1998
Germany: New figures on accidents at work and occupational diseases<#PDF_LINK>According to the German Federal Government's latestAccident at work avoidance report, the number of accidents at work declined in 1996, though the number of suspected cases of occupational diseases went up.
- 28 Feb 1998
Germany: Agreement on cuts in DGB company pensions<#PDF_LINK>On 23 January 1998, the company works council and the federal executive committee of the DGB trade union confederation reached an agreement on cuts in the organisation's company pensions.
- 28 Feb 1998
Germany: New site pact signed for west German Opel plants<#PDF_LINK>In January 1998, the company works council and the management of Opel AG in Germany signed a new works agreement. The so-called "site pact" contains management promises on new investments and job security and the works council's agreement to further social concessions to reduce labour costs.
- 28 Feb 1998
Germany: Creeping erosion of branch-level bargaining - a workplace perspective<#PDF_LINK>A study published in early 1998, instigated by the IG Metall metalworkers' trade union, analyses what current developments in German collective bargaining policy mean for works councillors and workplace union representatives. One of the main findings is that metalworking is experiencing a process of a creeping erosion at company level of branch-level collective agreements. An increasing number of works councillors feel that the management has "blackmailed" them into agreeing to social concessions which sometimes breach collective agreements in force. As a consequence, many works councillors are demanding stronger union support to defend collectively agreed standards and norms at company level.
- 28 Feb 1998
Germany: Distribution of income in Germany in 1997<#PDF_LINK>In a new report on the distribution of income in Germany in 1997, the Institute for Economics and Social Science examines current developments in earned income and profits, as well as the changes in the income of private households. The report verifies a trend which has been observed for some time towards a growing social polarisation in the distribution of income in Germany, for reasons which include structural changes in employment relationships and moderate collective bargaining policies.
- 28 Feb 1998
Germany: Increases in collectively agreed wages and salaries in 1997<#PDF_LINK>In 1997, collectively agreed wages and salaries rose on average by about 1.4% in west Germany and about 2.7% in east Germany, according to latest figures from the WSI research institute.
- 28 Feb 1998
Germany: ÖTV leader sets 30-hour week as long-term goal<#PDF_LINK>In an interview in February 1998, the president of Germany's public sector workers' union, ÖTV, stated that in the long run there is no alternative to an extensive reduction of working time to as low as 30 hours a week in order to solve the unemployment problem.
- 28 Feb 1998
Germany: German strike legislation does not fulfil standards of the European Social Charter<#PDF_LINK>In February 1998, the Council of Europe recommended that the German Government amend its restrictive legal provisions, which limit the possibilities to take industrial action.
- 28 Jan 1998
Germany: Profit-sharing and personnel policy at Audi<#PDF_LINK>In December 1997, management and company works council at Audi AG in Germany concluded a works agreement on the introduction of a new permanent profit-sharing system for all employees from 1998. This is the latest in a number of new personnel policies that have been introduced since 1988.
- 28 Jan 1998
Germany: Bavarian employers' and trade associations merge<#PDF_LINK>December 1997 saw the merger of the peak employers' association and peak trade association in the German federal state of Bavaria. The new association of Bavarian enterprises is called Vereinigung der Bayerischen Wirtschaft.
- 28 Jan 1998
Germany: Changes in the Partial Retirement Law<#PDF_LINK>On 1 January 1998, new legal provisions came into effect in Germany which include a variety of measures to improve the social security provisions for flexible working time arrangements, and to allow for easier application of the Partial Retirement Law.
- 28 Jan 1998
Germany: New collective agreement in the east German steel industry<#PDF_LINK>In January 1998, after very difficult negotiations, the collective bargaining parties in the east German steel industry accepted the same wage increases as had earlier been concluded for the west German steel industry.
- 28 Jan 1998
Germany: New works agreement on partial retirement at Daimler-Benz<#PDF_LINK>A January 1998 works agreement on partial retirement at Daimler Benz, Germany, provides better conditions for the employees than the analogous collective agreements in metalworking.
- 28 Jan 1998
Germany: Government gives up aim of halving unemployment by the year 2000<#PDF_LINK>After Chancellor Helmut Kohl declared in January 1998 that halving unemployment by the year 2000 might no longer be realistic, German trade unions reacted with strong criticism of the Government's policy.