Germany: three major unions call for short-time working for industries affected by the war in Ukraine

On 29 March and faced with soaring energy prices and supply problems linked to the war in Ukraine, the presidents of the three main German industrial unions, namely, IG Metall (metallurgy), IG BCE (chemicals), and IG BAU (construction) urged the German government to come to the aid of the most affected energy-intensive sectors and consequently safeguard jobs. The unions are specifically calling for financial aid for companies on the brink of bankruptcy as well as the operation of the short-time working scheme for companies coping with reduced business activity due to excessive energy costs. At a joint press conference, the union leaders warned that the sharp rise in energy prices would jeopardise Germany’s industrial base, and put many jobs in Germany on the line in the medium term. They also warned of the negative effects of a potential Russian gas embargo. Such a measure would lead not only to “short-time working and job losses but also to a rapid collapse of industrial production chains in Europe, with repercussions worldwide,” warned Michael Vassiliadis, president of the chemical union IG BCE and the European trade union federation IndustriAll Europe.