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Posts Tagged ‘german auto workers’

VW Sidesteps Strike With Big Pay Hike

Biggest pay increase in 20 years.

by on Jun.04, 2012

Workers at VW's "Glass Factory" in Dresden.

Volkswagen AG, Europe’s largest automaker, has agreed to give its German workers a pay increase of 4.3%, following the pattern set last month at Daimler, Porsche and BMW.

Under the one year contract, which expires next June, the pay increase took effect June 1 and covers more than 102,000 employees at VW manufacturing and financial services units.

German employers originally asked for a two-year contract but apparently agreed to the one agree contracts on the assumption negotiators from IG Metall will be willing to reduce demands if the European economy continues to soften over the next 12 months.

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The union, however, also won important concessions from VW and other employers in Western Germany for boosting the wages and benefits of trainees, students and temporary workers. Temporary workers also got a 4.3% pay increase as part of the deal.

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Forget Concessions, German Auto Workers Demanding Massive Pay Hikes

Unions warn of serious confrontations.

by on May.10, 2012

A BMW 5-Series model rolls down the assembly line near Munich.

German carmakers are negotiating new contracts with unions representing employees in what have become the most confrontational wage talks in well over a decade.

German unions negotiate with employer groups in different regions of the country IG Metall, the German metalworkers union staged a brief, one-day warning strike around Stuttgart, the home of Daimler AG and Porsche.

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Warning strikes are a ritual part of labor negotiations in German but this year they have an extra edge and union leaders have warned of more serious confrontations next week if the car makers and major supplier, such as Bosch, don’t meeting their wage demands.

The unions are looking for a hefty 6.5% wage increase this year and they gained some extra leverage when the major public employee union in Germany negotiated a substantial pay increase.

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