German Public Sector Wage Talks Enter Mediation After Deadlock

With strikes on hold, mediators Roland Koch and Hans-Henning Lühr aim to bridge the gap between union demands and employer constraints.

The third round of wage negotiations for Germany's 2.6 million public sector employees ended without agreement, leading to mediation.
Unions demand an 8% wage increase or at least €350 more per month, plus additional benefits, citing inflation and workforce challenges.
Employers offered a 5.5% pay increase over three years, which unions criticized as insufficient and below inflation rates.
Mediators Roland Koch (CDU) and Hans-Henning Lühr (SPD) will oversee the process, with strikes temporarily paused under a peace obligation.
The mediation reflects deeper issues, including strained municipal budgets, East-West wage disparities, and concerns over Koch's privatization history.