Employers offer staggered pay rise to workers in German industry, say sources

Employers have offered a staggered pay rise of 1.7% and 1.9% over a period of 27 months to workers in Germany's auto, electrical and metal industries, sources said on Tuesday, falling short of the demand made by the union.

The offer, which foresees the first increase on July 1, 2025 and the second a year thereafter, was made by employers in northern Germany, the first negotiating district to do so, with other districts expected to fall in line with their position.

Germany's largest industrial union, IG Metall, has demanded a pay rise of 7% for the almost four million workers and has threatened to strike alongside the talks.


Employers represented in the talks include Siemens , Mercedes-Benz and BMW. (Reporting by Ilona Wissenbach in Frankfurt and Alexander Huebner in Nuremberg, Writing by Rachel More, Editing by Madeline Chambers)