Germany: the difference between employees’ income and companies’ income increased in 2006

According to the federal Office of statistics, Germany reported in 2006 its strongest growth (+2,5%) since 2000. But in spite of the recovery, the pay of employees has increased only slightly last year, contrary to companies' earnings. This should support the position of trade unions, which ask for bigger pay rises in 2007 (see story nº 70007). (Ref. 070026)
Enjoy this article for free while you’re in your trial period
You have access to our content for 1 month.

“The two components of the national income, employees’ earnings on one side and companies and capital’s income on the other, evolve, as in the previous years, in a very different way”, said Walter Radermacher, President of the federal Office of statistics, during a press conference on January 11th in Frankfurt. Indeed, employees’ salaries (that is to say 1 144 billion euros) increased in 2006 by only of 1.3% compared to 2005, whereas the income of companies and capital (about 584 billion euros

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
United Kingdom largely retained within scope of EWCs despite Brexit, study shows
A study published this month by the Institute for Economic and Social Research, the French trade union research organisation, examined how the involvement of British representatives in European...
Spain: government approves creation of ‘intern status’
The Spanish government has paved the way for the creation of a new status for "persons undergoing non-professional practical training in companies, institutions or public or private organisations...
Luxembourg: two pension reform bills submitted to parliament
After lengthy negotiations with the social partners, in mid-October the Luxembourg government submitted two bills to parliament aimed at reforming the pension system to ensure its long-term...
Germany: pensioners in work already common practice, study shows
As the German government steps up measures to encourage people to stay in work beyond the legal retirement age, a new study by the Institute of Economic and Social Research (WSI) – an independent...
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
Germany: pensioners in work already common practice, study shows
As the German government steps up measures to encourage people to stay in work beyond the legal retirement age, a new study by the Institute of Economic and Social Research (WSI) – an independent...
2
Spain: government approves creation of ‘intern status’
The Spanish government has paved the way for the creation of a new status for "persons undergoing non-professional practical training in companies, institutions or public or private organisations...
3
France: social conference on labour and pensions to proceed without main employers’ group
The preparatory meeting ahead of the social conference on labour and pensions, which is set to decide on the pension system model and the funding thereof, was held on 4 November at France's labour...
4
Luxembourg: two pension reform bills submitted to parliament
After lengthy negotiations with the social partners, in mid-October the Luxembourg government submitted two bills to parliament aimed at reforming the pension system to ensure its long-term...
5
Candice Guillot (Talan): “Our recruiters save just over 80 hours per year on administrative tasks thanks to AI”
Candice Guillot, group director of employee experience and HR performance at Talan (7,000 employees), outlines for mind RH her vision and strategy for introducing artificial intelligence at the...