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IGBCE Aims for 7% Increase in German Chemicals Sector

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14 February, 2011

In historic levels of unity among members of ICEM-affiliated IGBCE in Germany, the union's chemical workers announced on Friday, 11 February, they will seek a 7% pay increase in contract talks beginning this week on 16 February. The wage round covers 550,000 workers in 1,900 companies of the chemicals sector for a period of 12 months.

Negotiations will be held on a regional basis, with the North-Rhine region to begin first, followed shortly after by other regions.

Peter Hausmann, IGBCE Governing Board member, who heads the union’s Collective Bargaining Department, said the figure of 7% had been agreed following production growth in the sector for 2010 of 11%, and companies realising an average 17.5% increase in revenues. The industry is on its way to returning to levels before the global recession, as Europe's largest economy recorded its best figures last year since the reunification of Germany.

Hausmann explained that intensive plant-level talks had been on-going since December, in all nine regions. The unanimity of the position of all districts is significant, and rare in recent years.

Last year’s agreement saw IGBCE agree to a concessionary wage freeze in view of the financial crisis. IGBCE President Michael Vassiliadis stating at the time, “It is fair considering the varying conditions in the industry and it helps build a bridge between the economic crisis and recovery.”

Similar pay compensation will be sought by Verdi and IG Metall, and in the clothing and insurance sectors.