Germany: one in three workers in the auto, machine-tool and metal industry is allegedly agency workers or has a service provision contract, according to the IG-Metall

According to the IG-Metall, approximately 1 million of the 3.6 million working in the metal, auto, electronics and machine-tool industry are either agency workers or employed with a service provision contract, i.e. with wages much lower than those paid to company staff.  It’s the first time such precise figures are released on the issue.  The IG-Metall is particularly pointing to BMW, which is getting ready for a substantial increase in the number of workers with service provision contracts in all its German factories.  At the same time, the heads of Daimler, Opel, BMW and Volkswagen threatened, in an interview published this weekend, to relocate part of their activity if the current negotiations between the CDU/CSU (conservatives) and the SPD (social-democrats) lead to the introduction of universal minimum wage and more controls over service provision contracts by works councils.  (Ref.  130716)
Enjoy this article for free while you’re in your trial period
You have access to our content for 1 month.

Popular practices in auto construction. Nearly one third of the 3.6 million people working in the metal, auto, electronics and machine tool industry, i.e. about 1 million, work as agency workers or with a service provision contract (Werkvertragsarbeiter). These are the figures the IG-Metall released this weekend in the Der Spiegel magazine. For several months, the union has been meticulously counting these employees, a first in Germany. Contacted by Planet Labor, Ingrid Gier, spokesperson f

Do you have information to share with us?
What you absolutely must read this week
The essential content of the week selected by the editorial team.
See all
France: sectors feel economic slowdown to differing degrees
The latest data on France’s occupational sectors (branches professionnelles), covering the year 2023, show how employment trends are shaping workplace dynamics. After a more favourable period for...
United Kingdom: Parliament finally passes Employment Rights Bill
The UK Labour government's flagship reform of employment rights was passed by both houses on 16 December after a turbulent parliamentary process. The bill introduces numerous changes to labour...
18 December 2025
EU: social partners in telecoms sign joint statement on AI
On 16 December, the social partners in Europe's telecommunications sector unveiled a joint statement on artificial intelligence. They propose an action plan for skills and commit to raising...
18 December 2025
EU: MEPs demand directive on algorithmic management
Members of the European Parliament have called for a directive on algorithmic management. Such legislation would introduce obligations for companies to inform employees, assess health and safety...
17 December 2025
Most viewed articles of the month on mind HR
What readers clicked on the most last month.
What readers clicked on the most last month.
1
Pascale Rauline (Axa EWC): “European charter formalises ongoing and accelerated social dialogue on AI”
On 27 November, Axa and its European works council (EWC) signed a charter setting out principles governing the deployment of artificial intelligence (AI) and guaranteeing social dialogue on the...
2
Germany: crisis-hit industries cast shadow over 2026 bargaining cycle
In 2026, collective wage agreements for nearly 10 million employees in Germany are set to expire. With upcoming negotiations in crisis-hit 'pilot' sectors such as chemicals and metalworking, the...
2 December 2025
3
Bulgaria: government approves bill to encourage sector-level collective bargaining
On 26 November, the Bulgarian government approved amendments to the labour code designed to reinforce the legal framework for sector-level collective bargaining. The reform aims to stimulate...
2 December 2025
4
EU: social partners in telecoms sign joint statement on AI
On 16 December, the social partners in Europe's telecommunications sector unveiled a joint statement on artificial intelligence. They propose an action plan for skills and commit to raising...
18 December 2025
5
France: construction sector turns to long-term partial activity scheme
Amid the ongoing economic crisis hitting France’s construction sector, social partners in the public works industry (350,000 employees) signed an agreement at the end of October enabling companies...
21 November 2025
6
Inditex European works council mobilises on value sharing
In a joint statement, 10 trade unions comprising the European works council of the Inditex clothing group are calling for rallies in Spain, Belgium, Luxembourg, Portugal, France, Italy and Germany...