Collective bargaining conflict with IG Metall: Employers see a further 300,000 jobs in industry at risk

The employers' association Gesamtmetall is arguing with the employee representatives of the metal and electrical industry over higher wages. There is currently no end to the collective bargaining conflict in sight - against this background, Gesamtmetall warns against further "de-industrialization".

In the midst of the ongoing collective bargaining dispute in the metal and electrical industries, the employers' association Gesamtmetall is drawing the risk of several hundred thousand job cuts. “Since 2019, deindustrialization has cost 350,000 jobs in the metal and electrical industries alone,” said the association’s chief executive, Oliver Zander, to the “Bild” newspaper.

"In view of the underutilization, a further 300,000 jobs in the M+E industry alone are at risk in the next two to three years." With only 3.4 million employees left, that would be "the lowest level since reunification in 1990," said Zander.

The warning is also likely to be in the context of the dispute with IG Metall over higher wages in the industry. The union is demanding five percent more money over a period of twelve months as well as securing jobs and locations. In the second round of negotiations, the employers submitted an offer that initially provides for a one-off payment and a step increase of 1.3 percent in July 2028 for a term of 26 months. In view of inflation, the union strictly rejects this. Since Sunday, a number of employees have been taking part in warning strikes in the industrial sector.

Zander warned IG Metall that it would contribute to an escalation of the collective bargaining dispute as the situation continued to deteriorate. “The situation is catastrophic, companies are often fighting for survival and there is no improvement in sight,” he said. "IG Metall's demand of five percent for twelve months is therefore irresponsible."