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Public Sector Wage Talks Collapse as Mediation Begins

After four days of negotiations, no agreement was reached, prompting the initiation of a mediation process to resolve the dispute involving 2.5 million employees.

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Verdi-Streik am Donnerstag in Rostock

Overview

  • The third round of public sector wage negotiations between Bund, Kommunen, and unions Verdi and dbb Beamtenbund ended without a deal after four days of talks.
  • Key union demands included an 8% salary increase, at least 350 euros more per month, and three additional annual leave days, which employers deemed financially unsustainable.
  • Employers proposed a 5.5% salary increase, a higher 13th-month salary, and increased shift allowances, but unions found the offer insufficient.
  • Independent mediators Roland Koch and Hans-Henning Lühr have been appointed to lead the mediation process under Friedenspflicht, temporarily halting further strikes.
  • The mediation process is expected to conclude by early April 2025, aiming to address the dispute against a backdrop of rising living costs and significant public sector staffing shortages.