Steel industry in crisis: Collective bargaining starts in Düsseldorf

Steel industry in crisis: Collective bargaining starts in Düsseldorf

Today is an important day for the steel industry in Germany: Collective bargaining in the iron and steel industry begins on Tuesday in Düsseldorf. This particularly affects the north-west and east tariff areas, where around 68,000 employees are represented. Around 8,000 of these jobs are in eastern Germany, where negotiations are underway for 2,700 employees at Arcelor Mittal in Eisenhüttenstadt and for the steelworks in Brandenburg an der Havel and Hennigsdorf, among others. Both plants belong to the Riva Group, one of Europe's leading steel producers.

According to rbb24, the steel industry in Germany is currently facing major challenges. Holger Wachsmann from IG Metall Ostbrandenburg emphasizes that no excessive demands are being made, while the steel employers' association rejects the wage demands as excessive and points to the difficult economic situation.

Demands and economic conditions

IG Metall pursues the goal of securing jobs and protecting the purchasing power of its employees. Clear demands have already been formulated by the collective bargaining committees of the north-west German and east German steel industries. These include, among other things, a guarantee for jobs and the preservation of full purchasing power. This is also supported by IG Metall, which emphasizes that a zero round will under no circumstances be accepted.

The economic situation in the industry is anything but rosy: crude steel production has fallen by 12 percent compared to the previous year, and many companies are struggling with red numbers and job cuts. Working hours have already been reduced in numerous companies in order to secure jobs. For example, Thyssenkrupp Steel has negotiated a restructuring collective agreement that includes a reduction in working hours to 32.5 hours per week and early retirement provisions for over 4,000 older employees.

Political framework conditions and future perspectives

IG Metall is also calling on politicians to take clear steps to relieve the burden on the steel industry. So they and the DGB would like to see a cheaper electricity supply for industry and a rapid implementation of the special investment fund. In order to secure steel as a location in Germany, calls for a European local content policy are also necessary to combat customs crises and competition from cheap steel imports.

The period for the ongoing negotiations has been set: the ongoing peace obligation ends on September 30th, after which possible warning strikes are in prospect. This collective bargaining round therefore metaphorically represents a race against time – for both employees and employers. IG Metall is therefore relying on an overall package to secure jobs and real wages.

With the start of collective bargaining today, it is clear that the steel industry in Germany is in a crucial phase. A look at the coming weeks will show whether it will be possible to find an amicable solution that puts employees and companies on a stable course.