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Germany's Collective Bargaining Coverage Stalls at 49%, Highlighting Stark Inequalities

The decline from 85% in the 1990s reflects regional and sectoral disparities, with calls for legislative action to address worsening labor conditions.

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Overview

  • Collective bargaining coverage in Germany has significantly dropped from 85% in the mid-1990s to 49% in 2024, where it has remained stable.
  • Public sector workers enjoy 100% coverage, while sectors like agriculture and hospitality lag far behind, with only 11% and 23% coverage respectively.
  • Regional disparities are evident, with Bremen leading at 56% coverage and Saxony falling behind at 42%, the lowest among German states.
  • Employees in non-unionized sectors earn approximately 10% less and work 53 minutes longer per week compared to those with collective agreements.
  • Unions and labor experts are urging the government to introduce legislative measures to boost collective bargaining coverage and improve labor conditions.