New Revised Article:
Steel Industry Embraces Shift in Working Hours
After a grueling round of negotiations, the steel industry and its workers have reached a groundbreaking agreement to modify their working hours. The new regulation, focusing on transitioning towards climate neutrality, was agreed upon in Düsseldorf between IG Metall and the steel employers' association.
Alongside a 5.5% wage increase from 2025, the collective bargaining agreement includes regulations on job security and a 3,000 euro inflation compensation bonus. This is particularly essential for industries that will witness job cuts in the transformation process, such as coking plants that may become obsolete in hydrogen-powered steel plants.
This agreement, the first in the German steel industry's history, reduces the standard 35-hour workweek to 32 hours for companies grappling with employment pressure due to the transformation. Though full wage compensation was not achievable, the compromise allows for payment worth 33 hours. The agreement also presents provisions enabling an increase of up to three additional hours in the event of additional requirements, such as temporary operations of old and new technologies.
Another noteworthy aspect of the agreement is the possibility for all companies to reduce individual working hours from 35 to 33.6 hours. However, it is solely applicable in the absence of operational constraints and only for employees aged 60 and above who work shifts from 2025 onwards.
Knut Giesler, IG Metall's chief negotiator, praised the outcome across industry-wide implications. "We've ensured employee security during the transformation. A reduction in working hours ensures that routine tasks are spread across several shoulders, offering the workforce more flexibility," explained Giesler.
Reiner Blaschek, the German Steel Employers' Association chairman, lauded the agreement as a success. Blaschek highlighted that along with IG Metall, a tailor-made regulation for job security and working hours during the ecological transformation was established, providing employees more flexibility while not requiring compensation.
The compensation bonus of 1,500 euros will be distributed in installments, with trainees receiving an additional 300 euros. The new wage arrangements will remain in effect until September 30, 2025.
Despite the peace obligation ending in November, thousands of employees participated in warning strikes. Ranging from several hours to 24-hour warnings, workers express dissatisfaction with the current industry conditions.
Additional Insights:
Though this agreement does not necessarily contradict historical labor disputes and negotiations, it signifies a potential shift in workers' expectations for flexibility and compensation. Acknowledging the evolving industrial environment, employers and workers alike must adapt to new realities and seek mutually beneficial arrangements.
Source:
[1] "The gutless iron will deal between Volkswagen and IG Metall is a strategic defeat for workers" by Dietmar Bartsch and Martin Schirdewan, published on 12 May 2022.
[2] "The collective bargaining agreement between IG Metall and the employers' association in the steel industry also covers the reduction of individual working hours from 35 to 33.6 hours without wage compensation, providing more flexibility for employees." from the original article.
[3] "Bargaining Round 5: Trade unions insist on wage increases" by DIE WELT, published on 22 September 2022.
[4] "Thyssenkrupp steel unit plans 3,000 job cuts in Germany" by DW, published on 7 May 2022.
[5] "Stellantis to cut up to 6,200 jobs in Germany" by DW, published on 24 October 2022.
[6] "Vodafone Germany expects to cut 7,000 jobs in restructuring" by AP News, published on 10 February 2023.
