Nuremberg: IG Metall Demands 8.5% Pay Hike in 2024
Negotiations Get Underway Amidst Soaring Inflation
IG Metall, Germany's largest trade union, has submitted a demand for an 8.5% pay increase for its members in 2024.
The demand was presented during the opening round of negotiations with the Bavarian Metal Employers' Association (VBM) in Nuremberg on Thursday.
IG Metall represents over 2.3 million workers in the metal and electrical industries in Germany.
The union is seeking the pay hike to offset the impact of soaring inflation, which has eroded the purchasing power of workers.
The inflation rate in Germany reached 10.4% in October, the highest level since the early 1950s.
IG Metall's demand is significantly higher than the 4% pay increase that was agreed upon in the previous round of negotiations in 2021.
The VBM has rejected IG Metall's demand, saying that it is "unrealistic" and would "endanger jobs."
The two sides are expected to continue negotiations in the coming weeks.
If an agreement cannot be reached, IG Metall has threatened to call a strike.
A strike would be a major disruption to the German economy, as the metal and electrical industries are key sectors.
The negotiations are being closely watched by other unions in Germany, as they could set a precedent for wage demands in other sectors.
