Automotive industry in BW: More money and better conditions for 60,000 employees!

Automotive industry in BW: More money and better conditions for 60,000 employees!

A new collective agreement was reached in the automotive industry in Baden-Württemberg, which is important for around 60,000 employees and 9,000 trainees. The agreement between the employers and IG Metall entails an increase in wages, salaries and training allowances in two stages. From July 1, 2025, salaries will increase by 2.3 percent, while trainees at all training levels will receive 80 euros more. A further increase of 3.3 percent is planned for August 1, 2026. These new collective agreements have a term of 26 months and are valid until the end of May 2027. Stuttgart News reports that employees can also take up to five working days off per year without pay.

The negotiations took place in Korntal-Münchingen, where Christian Schwaab from IG Metall and Andreas Göritz from the Association of the Motor Vehicle Trade conducted the discussions. Employers have pointed out the pressure to adapt resulting from the transformation of the automotive industry. The union had originally called for higher wage increases and shorter terms. To increase the pressure, warning strikes were carried out, in which 23,000 motor vehicle workers took part since the beginning of April - the highest number in years.

Successful collective bargaining

The collective agreement could not only improve the financial situation of employees, but also increase the attractiveness of the industry. Ralf Kutzner, a managing board member of IG Metall for the Crafts, emphasized the importance of the collective agreements and praised the success of the warning strikers. The joint demonstrations by automobile workers from various car dealerships and workshops led to an increase in IG Metall members in these establishments. The launch celebration was already followed by significant progress in other regions, as the pilot collective bargaining agreement was also adopted in Hamburg, Bavaria, Lower Saxony, Schleswig-Holstein, Hesse, North Rhine-Westphalia, Saarland and East Germany IG Metall reported.

In addition to the wage increase, a transfer agreement for fully trained trainees and dual students was agreed in Baden-Württemberg. This is also intended to ensure future skilled workers. Another important agreement concerns bicycle leasing, which is now also part of the collective agreement. Ivan Curkovic, the chief negotiator for IG Metall Baden-Württemberg, highlighted the importance of social components and wage increases in order to increase the attractiveness of the industry.

Industry-specific challenges

The automotive industry is currently faced with increasing workloads and a lack of appreciation. The employees originally demanded 6.5 percent more wages and 170 euros more for trainees in order to take the needs of the employees into account and combat the shortage of skilled workers. Due to the increase in used car sales and weak new car sales, many workshops are faced with increased service requirements, which further increases the burden on employees. IG Metall Baden-Württemberg Stresses that it is important to improve working conditions and wages in order to prevent a brain drain and counteract the shortage of skilled workers in the sector.

These collective bargaining negotiations and their results are an important step for the automotive industry in Baden-Württemberg in order to remain attractive in the long term, even in difficult times, and to reward employees according to their performance.