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IG Metall and Steel Employers Agree 1.75% Pay Rise From 2026 in Northwest Deal

Attention now shifts to government relief, including a planned industrial power price pending EU sign‑off.

Overview

  • Workers would receive a 1.75% wage increase starting 1 January 2026, apprentices get €75 more per month, and the agreement runs through 31 December 2026.
  • Existing accords on employment security, limits on subcontracting and partial retirement are extended, with provisions for apprentice retention and an option to reduce weekly hours to 28 with partial pay compensation.
  • The late-night compromise removed the immediate threat of warning strikes after the peace obligation expired at midnight.
  • The outcome remains conditional on approval by IG Metall’s tariff commission and the union’s national board.
  • Ministers met unions and works councils as Berlin advances a subsidised industrial electricity price subject to EU approval, with further trade protections and procurement preferences to be discussed ahead of a planned chancellor-led steel summit.