Hours cuts agreed in east German soft drinks industries

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.

On 30 March 1998, the German Food and Restaurants Workers' Union (Gewerkschaft Nahrung Genuß Gaststätten, NGG) and the employers' association for the east German soft drinks industries concluded a new framework collective agreement (Manteltarifvertrag) for about 4,000 employees. The most important part of the new agreement is a reduction in weekly working time from 40 to 38 hours. Furthermore, the new agreement contains the following provisions:

• from 1999, all employees will receive 30 day's paid holiday per year;

• the daily holiday bonus will increase from DEM 16 in 1998 to DEM 20 in 2000;

• the Christmas bonus will increase from 85% to 90% of a month's pay;

• there will be 100% continued payment of remuneration in the event of sickness; and

• employees aged 52 years and over will receive special protection against dismissal.

The vice-president of NGG, Reiner Wittorf, declared that the new agreement represented a breakthrough for the union in the harmonisation of east and west German working conditions.