2023-10-02 17:49:00
The first round is primarily regarding agreeing on the framework conditions, according to employers and employees. The economic data and the demands of the employees were discussed, said employer and employee representatives in unison.
It was a “classic round of negotiations,” said negotiating circles. From the perspective of the employers in the metal technology industry (MTI), this was “factually constructive, but has not yet produced any concrete results,” it said in a press release. “Full compensation for the inflation of the last twelve months is not feasible and we reject it,” explained Christian Knill, chairman of the metalworking industry association, and referred to the economic situation in the industry. In the first round of negotiations, it was discussed whether and which creative solutions would be conceivable for the KV, the WKÖ also announced. There was no counter-proposal to the employee demand.
Sixth week of vacation
The workers, however, did not want to back down from their demands: “There was no restraint on the part of the companies when it came to profit distributions,” said the chief negotiators of the workers’ representatives, Reinhold Binder from the PRO-GE union and his colleague Karl Dürtscher from the GPA. “Our demand therefore remains 11.6 percent. The employees have more than earned inflation compensation and a fair share of the industry’s economic success,” the union members added, according to a statement from the unions. Because: “Employees now need a noticeable and, above all, sustainable increase so that their lives remain affordable,” say Binder and Dürtscher.
The basis for this is rolling inflation of 9.6 percent. The union also demands that the sixth week of vacation should be easier to achieve. And there should be the possibility of a free time option: So no wage increase, but more free time. Furthermore, the 8,000 apprentices should be placed on an equal footing with graduates of higher vocational schools following completing their apprenticeship.
However, employers pointed to a 5.5 percent decline in production and incoming orders fell by 18 percent. Of the more than 1,200 companies in the mechanical engineering, plant engineering, steel construction, metal goods and foundry industries, almost every third company expects a negative operating result (EBIT), according to the Chamber of Commerce’s position.
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According to economists from the Economic Research Institute (WIFO) and the Institute for Higher Studies (IHS), high degrees do not lead to a wage-price spiral, since 80 percent of production would be exported anyway. However, the higher purchasing power would be counteracted by the difficult economic environment for the industry.
Kocher sees “difficult conditions”
Economics and Labor Minister Martin Kocher (ÖVP) appeared cautious. “It is not the government’s place to comment here,” he said on Monday at a labor market press conference in response to questions from journalists. However, Kocher referred to the relatively high inflation, the economic slowdown and questions regarding competitiveness. “There are difficult conditions for wage negotiations,” said the Economics Minister. When concluding KV agreements, “the difficulties” and the purchasing power issue will have to be taken into account. “The negotiators will have to find this balancing act. I am very confident that they will succeed.”
Video: Are the metalheads’ demands moderate or excessive? The Economic researchers Franz Schellhorn and Oliver Picek with an assessment
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