Berlin – November 03, 2026 -- Employers in Germany's metal and electrical industry opened the second bargaining round with a 1.3% wage increase effective July 2028, following 20 months without a raise, according to a commentary in nd.DerTag. Over a 26-month term, the commentary calculates, that equals 0.6% per year.

Offer sits below inflation and productivity gains

The commentary cites inflation of 3% and productivity growth of 1.5%, both well above the annualized offer. It also points to extraordinary profits in aerospace, electrical and medical technology and the defense industry. The auto industry also reports profits, though at lower levels.

Employers tie one-off payment and concessions to company results

Companies in good financial condition would pay a one-off sum of up to €800 in July 2028. Employers also demand measures to cut sickness costs and deviations from the sector-wide collective agreement for plants that report low profits by their own calculations.

IG Metall warning strikes reach more than 2,000 plants

IG Metall has characterized the package as a declaration of war rather than an offer. Since Nov. 1, workforces at more than 2,000 plants have joined warning strikes, from Dresden to Cologne and from Flensburg to Munich. Members expect an end to the downward wage spiral amid rising prices and to job cuts in industry.

The commentary argues that the union should demand shorter working hours, citing a four-day week as a means to secure jobs. A raise below inflation and productivity growth, combined with continued job cuts, would be a disappointment, it says. It also calls for backing from DGB unions, social associations and Die Linke.