Germany Labor Relations

The German government froze the salaries of its own members Wednesday and refused to make a new pay offer to striking public employees, who were joined in industrial action by more than 130,000 metal workers. The government acknowledged that public sector strikes are beginning to bite, but it stood firm on its offer of a 4.8% pay raise and said the 9.5% demanded by the public service union OeTV is unacceptable.

Reluctance among local eastern German metalworkers union officials to accept a compromise wage settlement worked out by their national leadership reflects the depth and severity of new social tensions that have become part of reunified Germany. In part, the delay that followed last week's announcement of agreement is understandable. After all, more than 60 years and two dictatorships have passed since the last official strike in the region.

Chancellor Helmut Kohl's government struggles to shake off a growing malaise dominated this week by Germany's most serious public services strikes since World War II. The Bonn government initially decided it could stand up to the powerful unions--in part because opinion polls showed there was little public sympathy for those workers demanding large pay hikes at a time the country has been hit by the staggering costs of unification.

A labor dispute in Germany's pivotal metalworking industry deteriorated further Friday, heightening the prospect of the first officially sanctioned strike in eastern Germany in over six decades.

A labor dispute in Germany's pivotal metalworking industry deteriorated further Friday, heightening the prospect of the first officially sanctioned strike in eastern Germany in over six decades.

Reluctance among local eastern German metalworkers union officials to accept a compromise wage settlement worked out by their national leadership reflects the depth and severity of new social tensions that have become part of reunified Germany. In part, the delay that followed last week's announcement of agreement is understandable. After all, more than 60 years and two dictatorships have passed since the last official strike in the region.

Nearly 18 months after achieving their dream of unification, the Germans face a series of economic problems that look more like a nightmare than the results of a wish come true. While experts remain convinced that unity and the collapse of communism in Europe will eventually increase Germany's economic might, the Continent's industrial giant is suffering a collection of interim ills.

Public workers called off their nationwide strike Thursday after the embattled government caved in to union demands following 11 days of uncollected garbage, unsorted mail, idled trains and grounded airplanes. The union leadership accepted the 5.4% raise offer pending ratification by the 2-million-member rank and file. Voting is scheduled to begin today and last through the weekend. At first glance, the $10-billion pay package appeared to total more than a mediator's 5.

The industrial Ruhr has changed a lot since the days when locals had to shake the grit from their clothes each morning and toil under a brooding sky of pollution-tinged gray. Although the Ruhr remains one of Europe's largest industrial centers, the skies have cleared.

Public workers called off their nationwide strike Thursday after the embattled government caved in to union demands following 11 days of uncollected garbage, unsorted mail, idled trains and grounded airplanes. The union leadership accepted the 5.4% raise offer pending ratification by the 2-million-member rank and file. Voting is scheduled to begin today and last through the weekend. At first glance, the $10-billion pay package appeared to total more than a mediator's 5.

Chancellor Helmut Kohl's government struggles to shake off a growing malaise dominated this week by Germany's most serious public services strikes since World War II. The Bonn government initially decided it could stand up to the powerful unions--in part because opinion polls showed there was little public sympathy for those workers demanding large pay hikes at a time the country has been hit by the staggering costs of unification.

The German government froze the salaries of its own members Wednesday and refused to make a new pay offer to striking public employees, who were joined in industrial action by more than 130,000 metal workers. The government acknowledged that public sector strikes are beginning to bite, but it stood firm on its offer of a 4.8% pay raise and said the 9.5% demanded by the public service union OeTV is unacceptable.

Nearly 18 months after achieving their dream of unification, the Germans face a series of economic problems that look more like a nightmare than the results of a wish come true. While experts remain convinced that unity and the collapse of communism in Europe will eventually increase Germany's economic might, the Continent's industrial giant is suffering a collection of interim ills.