Germany’s Public Sector Wage Dispute Resolved After Months of Negotiations
Unions and employers agree on a two-stage wage increase, flexible work options, and improved allowances, ending strike threats for 2.5 million workers.
- The agreement includes a two-stage wage increase: 3% from April 2025 and 2.8% from May 2026, with a minimum increase of €110 per month.
- The 27-month contract, retroactive to January 2025, prevents further strikes for its duration, restoring stability to public services.
- Flexible work options were introduced, allowing employees to voluntarily increase weekly hours to 42, alongside improved allowances for shift work.
- The Schlichtungskommission's compromise proposal served as the foundation for the deal, balancing union demands with employer financial constraints.
- The resolution follows months of warning strikes that disrupted essential services, including transportation, healthcare, and education.
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