Germany: ‘generous’ deal reached at Deutsche Telekom amid pressure of digitalisation

On 12 April, after a fourth meeting, negotiators from Deutsche Telekom and the services trade union Verdi announced that they had reached a compromise that is likely to please the 55,000 employees of Telekom Deutschland, the branch of the German telecommunications group which serves individuals and companies in the country. As well as a pay rise of between 4.8% and 5.2%, workers will also see their working time reduced, thanks to an additional 14 days of paid leave per year. The agreement, which contains other benefits for workers, will be valid for 26 months.
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5.2% increase for the lowest wages. The collective agreements committee at services union Verdi still needs to accept on 25 April, the agreement that was negotiated and presented on 12 April with representatives of Deutsche Telekom. Few doubt that the union will accept a deal that is so advantageous to employees of the firm. The company’s impressive recent results certainly helped create an environment for such an agreement to be reached, but it is also the result of its push to attract...

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