Germany: wage moderation is not reducing pay differentials between eastern and western Germany

According to the federal statistics agency, working cost in Germany only increased of 1.1% in 2006 (CSV data). In parallel, a study made by the Hans-Böckler foundation (trade unions) shows that the wage difference between eastern and western Germany can still reach sometimes 41% in certain sectors, to the east's disadvantage. (Ref. 070533)
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In the EU, labour got considerably dearer last year. This is what the last figures published by the German Federal statistics agency (Destatis) show. This tendency is mostly due to the strong costs’ increase in eastern European EU members. In the Czech Republic, the increase is of 11.7%; in Latvia, 23.3% and in Romania 23.5%. On the other hand, in Germany, labour cost is only increasing of 1.1% (3.3% in France). It is the smallest result of all the EU countries. For the manufacturing sector, wh

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