Germany: standoff over national plan to boost collective bargaining

Syndicat allemand DGB
Under the EU Adequate Minimum Wages Directive, Germany is required to produce an action plan to boost collective bargaining coverage. That plan has stalled, however, after being blocked by the economy ministry, while a vote on the proposed law on "compliance with collective agreements" (Bundestariftreuegesetz, BTTG) — intended to form part of the package — was halted in November 2025 following pressure from conservative groups, prompting unions to denounce the move as a provocation.
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The German Trade Union Confederation (DGB) has accused Chancellor Friedrich Merz’s conservative CDU party of unnecessarily delaying the adoption of measures to strengthen collective agreements in Germany. These measures stem from obligations under the EU Adequate Minimum Wages Directive, which requires countries with collective bargaining coverage of less than 80% to submit a national plan to the European Commission to improve this coverage. This is the case for Germany, which has a coverage ra

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