Germany: 5.3% increase over 24 months in building and civil engineering

Wolfgang Clement, former Minister of Economic Affairs under Gerhard Schröder and mediator appointed by the social partners in building and civil engineering in early April, presented on Thursday in Potsdam the outcome of his mediation.  The IG BAU union and the two key employers’ organizations in the sector, the Confederation of Small Construction Firms (ZDB) and the Federation of Large Construction Firms (HDB) have until April 28th to accept or refuse the proposal.  If one of the partners refuses, the IG BAU will then have the right to go on strike.  It is rather unlikely unions will refuse.  Indeed, the IG BAU started with a 5.9% claim.  In the end, it obtains between 5.3% in the west and 6.3% in the east, but over two years.  “After an arm-wrestling game, we get solid wage increases and an important first step towards the alignment of wages between eastern and western Germany” rejoiced Dietmar Schafers, negotiator and VP of the IG BAU.
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il 28th to accept or refuse the proposal. If one of the partners refuses, the IG BAU will then have the right to go on strike. It is rather unlikely unions will refuse. Indeed, the IG BAU started with a 5.9% claim. In the end, it obtains between 5.3% in the west and 6.3% in the east, but over two years. “After an arm-wrestling game, we get solid wage increases and an important first step towards the alignment of wages between eastern and western Germany” rejoiced Dietmar Schafers, negotiat

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