By declaring, on December 14, 2010, that the Union of Christian Trade Unions in the temporary sector was “unfit” for signing collective agreements (see our dispatch No. 100890), the Federal Labor Court (Bundesarbeitsgericht – BAG), brought about turmoil among the temporary work agencies concerned. However, one key question remained unanswered: does the decree also apply to agreements signed in the past or simply to ongoing and future agreements? The Verdi union and most observers think that the BAG’s ruling is explicit on this: the CGZP never had the level of representativeness required by law to conclude sectoral collective agreements, which means that they are null and void. As the Temporary Work Acct provides for Equal Pay between temporary and permanent workers in the absence of special collective agreements for temporary workers, the temporary workers concerned are entitled to claim, retroactively, for the same salary as their colleagues. However, they will have to initiate the proceedings themselves, a BAG spokesman said. In addition to a wage increase, companies that signed agreements with the CGZP could also have to pay additional social contributions, up to €2bn, to social insurance funds. “A majority of the temporary firms concerned could go bankrupt” warned Alexander Gunkel, member of the management of the Federation of German employers (BDA).
tive agreements, which means that they are null and void. As the Temporary Work Acct provides for Equal Pay between temporary and permanent workers in the absence of special collective agreements for temporary workers, the temporary workers concerned are entitled to claim, retroactively, for the same salary as their colleagues. However, they will have to initiate the proceedings themselves, a BAG spokesman said. In addition to a wage increase, companies that signed agreements with the CGZP c
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