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Deutsche Bahn and EVG Negotiate Wage Deal for 190,000 Employees

Deutsche Bahn and EVG Engage in Final Round of Wage Negotiations

Introduction

The Deutsche Bahn (DB) and the Railway and Transport Union (EVG) are engaged in the third and potentially final round of negotiations over wage increases for approximately 190,000 employees. The talks, which began on Wednesday morning in Berlin, aim to reach an agreement between the two parties. The negotiations are scheduled to last for five days, concluding on Sunday.

EVG’s Stance

The EVG emphasized its desire to reach a deal before the upcoming Bundestag elections. The union expressed concerns about potential economic and structural uncertainties for DB under a conservative Union-led government. EVG’s chief negotiator, Cosima Ingenschay, stated that the union’s goal is to conclude negotiations, but stressed that the onus lies on the employer to make substantial concessions.

DB’s Perspective

Martin Seiler, DB’s Human Resources Director, acknowledged the complexity of the negotiations and the company’s ongoing restructuring process. He maintained that DB’s financial constraints limit the scope of potential concessions, but expressed optimism about reaching a solution.

Potential for Strike Action

Should the negotiations fail, the EVG has indicated that it could resort to warning strikes after March 31st, when the current peace obligation expires. Ingenschay emphasized that the union is not willing to settle for an unsatisfactory agreement.

Negotiation Demands

The EVG is demanding a 7.6% salary increase and an additional 2.6% allowance for shift workers, with the option to convert part of the allowance into free days. The union also seeks an employment guarantee until the end of 2027.

DB’s Offer

DB’s current proposal includes a phased tariff increase for shift workers of approximately 7.9%, including the additional allowance. For all other employees, salaries would increase by 4%. The duration of the agreement is set at 37 months. Seiler clarified that the company is not presenting a new offer but rather seeking to resolve outstanding issues and reach partial agreements.

Progress and Next Steps

The negotiations will continue throughout the week, with both sides expressing a willingness to find common ground. Ingenschay highlighted the importance of transparency and trust-building between the parties. The outcome of the talks will impact the wages and working conditions of a significant portion of DB’s workforce.

Context

The current wage negotiations are the first for DB in several years that have not resulted in major disruptions to rail services. The EVG’s peace obligation prohibits warning strikes until the end of March, providing a window of opportunity for an agreement to be reached before potential industrial action.

Conclusion

The final round of wage negotiations between the Deutsche Bahn and the Railway and Transport Union is a crucial moment for both parties. A successful conclusion would avoid labor disruptions and provide stability for DB’s operations. However, failure to reach an agreement could lead to strike action and further uncertainty for the company and its employees.

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