Finance
German public sector employees kick off wage negotiations
Published by Global Banking and Finance Review
Posted on January 24, 2025
1 min readLast updated: January 27, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on January 24, 2025
1 min readLast updated: January 27, 2026
Germany's public sector wage talks have started, with unions demanding an 8% pay rise. The government, citing budget limits, is negotiating with unions to reach an agreement by March.
BERLIN (Reuters) - A first round of wage talks for more than 2.5 million public sector employees in Germany kicked off outside Berlin on Friday.
Trade union Verdi and the DBB civil service association are asking for an 8% pay increase, with a rise of 350 euros ($364) per month at minimum - a demand the interior ministry, which represents the employers' side, has called "very high."
Interior Minister Nancy Faeser, who is leading negotiations on behalf of the federal government, has expressed her willingness to compromise but made clear that the government and local authorities' budgets did not allow for too much leeway.
The DBB has warned that the public sector faces an existential crisis if pay is not significantly improved.
The unions' demands also include three extra days off for all staff and four off for union members, as well as overtime bonuses for part-time staff and more money for trainees.
An agreement is not expected until the third round of negotiations in mid-March at the earliest.
($1 = 0.9626 euros)
(Reporting by Holger Hansen and Alexander Ratz, Writing by Miranda Murray, editing by Kirsti Knolle)
The article discusses the wage negotiations for German public sector employees, focusing on union demands and government responses.
Unions are asking for an 8% pay increase, additional days off, and overtime bonuses for part-time staff.
Interior Minister Nancy Faeser is leading the negotiations on behalf of the federal government.
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