German Industrial Wages Lag Behind Inflation Recovery, Bundesbank Reports

The Bundesbank highlights a significant gap in real wage recovery for industrial workers compared to the service sector.

German industrial workers' real wages remain approximately four percent below their pre-inflation levels from Q3 2021.
The Bundesbank anticipates faster wage growth in Germany than in the broader Eurozone, driven by high demands in the service sector.
Service sector wages have recovered more quickly, with a current shortfall of only two percent compared to pre-inflation levels.
IG Metall is pushing for a seven percent wage increase in upcoming negotiations, amid challenging conditions like weak foreign demand.
Upcoming wage negotiations in the metal and electronics industries could lead to initial warning strikes starting October 29.