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IG Metall demands 6.5 per cent pay increase

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7 February, 2002Negotiations have begun to determine new collective agreement for Germany's metal and engineering industry.

GERMANY: The first bargaining session of the 3.6 million-strong German metalworkers' union, IG Metall, and employers in the metal and engineering industry kicked off yesterday, February 7, in the region of Bavaria. The IMF's affiliate officially confirmed on January 28 that its regional associations would be pushing for a 6.5 per cent wage increase for this year's collective agreement.
IG Metall's president, Klaus Zwickel, said that the union's pay demand sought compensation for an expected 2 per cent inflation rate, a gain in productivity of 2 per cent, as well as several years of moderate wage gains. He contended the demand was clearly payable as company profits had increased sharply in recent years.
Wage negotiations in Germany are normally carried out by region, between employers' associations and unions representing entire industries, and negotiating teams coordinate their positions so that pay rates vary little from region to region.
Collective agreements for the metal and engineering industry will run out at the end of February, to be followed by a one-month no-strike period if an agreement has not been reached.