IG Metall expands strike wave across German industry over pay dispute

Germany's largest union has expanded strike action across the metal and electrical engineering sector in a dispute affecting about 3.7 million employees. The walkouts began on Monday and hit major manufacturers including Audi, Mercedes-Benz and Tata Steel. The union says the action is part of a push for higher wages, stronger job security and profit-sharing arrangements.

IG Metall is seeking a 5 percent pay rise, arguing that workers are under pressure from the cost of living. It also wants measures to protect jobs and production sites in sectors that are performing strongly. Employers have offered a one-off payment equivalent to 1 percent of pay in July 2027, followed by a 1.3 percent wage increase from July 2028.

They have also said companies facing financial difficulties could withhold the one-off payment. The union rejected the offer, saying it would amount to a real-terms pay cut, and called for the industrial action to be widened. Strikes are expected to continue throughout the week, and the union plans to publish participation figures on Friday.

During the previous bargaining round in 2024, more than 100,000 workers took part on peak days, indicating the potential scale of the current dispute. The dispute matters because Germany's metal and electrical engineering industries are central to the country's industrial base and export economy. Any prolonged stoppage at large manufacturers can affect production schedules, supply chains and investment planning.

The action also comes at a time when cost-of-living pressures have fuelled protests and strikes in several European countries. The current round follows failed wage talks over pay, job security and profit-sharing, with both sides still far apart. The union's decision to escalate suggests that negotiations have not yet produced a compromise acceptable to workers.

The broader backdrop is a wave of demonstrations across Europe over living costs and workplace conditions, with Germany joining unrest that has already affected other countries in recent weeks. What remains unclear is how many workers will join the stoppages over the rest of the week and whether employers will return with a revised offer. The participation figures due on Friday will give the clearest early measure of the strike's reach.

It is also not yet clear whether the dispute will be resolved quickly or develop into a longer industrial confrontation.

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