BERLIN (dpa-AFX) - According to Verdi head Frank Werneke, the collective bargaining rounds of the new year will continue to be affected by the large price increases in Germany. "The high inflation will continue to occupy us," Werneke told the Deutsche Presse-Agentur in Berlin. "All people must get their refrigerators full, everyone is entitled to a heated apartment."

Before Russia's invasion of Ukraine, he said, no one had predicted that there would be entrenched inflation levels of eight, nine or even more percent. "Already in the course of the year, Verdi has pushed through some very high wage settlements, for example for port workers with overall double-digit wage increases." Werneke also pointed to the November agreement for Lufthansa, where a salary increase of more than 17 percent was negotiated for entry-level employees.

"People with lower incomes are disproportionately affected by the sharp rise in prices in relation to their income levels," Werneke noted. "As Verdi, we are quite explicitly trying to push through above-average income increases for this group of employees. That's why, for example, we are calling for table-effective minimum amounts, such as in the public service of the federal government and local authorities with a minimum increase of 500 euros."

On January 24, Verdi and the civil service association dbb will begin collective bargaining for around 2.5 million federal and municipal employees. In addition to the minimum amount, the unions are demanding 10.5 percent more income.

Werneke expects the issue of crisis-related special payments to remain high on the agenda - but expressed skepticism about this. "In all the collective bargaining negotiations we are currently engaged in, the employer side is putting the inflation compensation bonus in the shop window and lighting it up with colored lamps," he said. "It wouldn't be a big surprise now if public employers act the same way."

Chancellor Olaf Scholz (SPD) had offered such special payments as part of his talks with employers and unions against inflation ("concerted action"). Accordingly, the state would waive taxes and duties on additional payments of up to 3,000 euros from employers to their employees.

Werneke commented, "However, we are dealing with permanently rising prices." He added that there will be no drop in prices to the level before February 2022. "Our members want sustainable, permanent pay increases that affect the tables, and then they're happy to pay taxes and social security contributions on top of that." That employers are out with other ideas is likely, he said. "And then we will see if we can come to an agreement with each other."

Regarding the negotiations at Deutsche Post, which are scheduled to begin on January 6, Werneke said, "At Deutsche Post AG, we are not acting with a minimum amount, because there the differences between the groupings are only comparatively small. Whether in the delivery service or in the mail distribution center - the groupings are close together."

That is why Verdi is demanding an overall wage increase of 15 percent at the Post. "Here, colleagues work with low incomes while doing tough jobs, mostly in big cities and metropolitan areas with their high price levels." The company is doing so well financially that shareholders are being richly rewarded, he said. "There is also enough money there for the employees."/bw/DP/zb