Before the start of the pioneering wage round for metalworkers, the union is marking its territory. Wage demand will “definitely be in double digits” and reducing working hours is also an issue, says the new head of the production union PRO-GE, Reinhold Binder. For him, the one-off payments proposed by employers are not a solution.
Such one-off payments are “fancy on a sandwich” at best, but it is about a sustainable increase, Binder told Ö1 on Friday. This durability can “never be lower than the rolling rate of inflation (ie: the average rate of inflation over the last twelve months, note)”.
“First prices went up, now wages have to go up”
Binder is aloof about the fact that employers recently demanded ‘new solutions’ during the annual negotiations on the collective labor agreement. “The call always comes if you want to take something from the employees,” said the top union man. A lot is conceivable, but in any case no deal below the inflation level of the past twelve months. His argument: “First prices went up and now wages have to go up.”
New employee negotiator
The industry has generated record revenues over the past two years, exports are still doing very well and now it’s employees’ turn to reap the success, Binder said. This year, for the first time, he will lead the more than 130,000 employees in the metal technology industry to the autumn wage round.
Annual inflation at marked heights
Rolling inflation, on which wage agreements are typically based, is an extremely high 9.6 percent this year. The price increase is currently seven percent on an annual basis. Last year, an increase in the actual wages of 7.44 percent was agreed, with the increase consisting of an increase of 5.4 percent and a monthly payment of 75 euros. Rolling inflation was 6.4 percent a year ago.
Employer: “It is not our job to guarantee purchasing power”
Christian Knill, president of the metalworking industry association, emphasized on Thursday: “We can only hand out what we earn. It is not our job to guarantee purchasing power in Austria.” The industrial calculation: In the first half of 2023, the industry realized a production value of 24.8 billion euros, which, adjusted for prices, corresponds to a decrease of 5.5 percent compared to the previous year. Incoming orders fell 18 percent in the same period. A production decrease of approximately six percent is expected for the full year.
Almost at the same time as the metal technology industry, negotiations for the metal processing industry are also underway, followed by the largest round of commercial negotiations with the trade. Despite the traditional focus on the metals industry, which is considered pioneering, further KV negotiations are constantly taking place. For example, the milling and animal feed industry recently saw wages and salaries rise by 10.1 percent.
Source: Krone
I am Ida Scott, a journalist and content author with a passion for uncovering the truth. I have been writing professionally for Today Times Live since 2020 and specialize in political news. My career began when I was just 17; I had already developed a knack for research and an eye for detail which made me stand out from my peers.
