2023-11-01 05:07:38
The trade union-affiliated Momentum Institute points out that a significant part of the wage increases are not paid by the companies anyway – if you take into account the company subsidies. “In total, state aid to companies will amount to around 6.4 billion euros in 2024. This corresponds to more than if all wages – beyond the metal industry – were increased by 2.5 percent with the offer from the metal workers’ employers,” said the institute.
This wage increase would cost companies EUR 4.3 billion, which is EUR 2.1 billion less than the amount the government will subsidize companies next year. If wages were to rise by the 11.6 percent demanded by the unions for metalworkers, it would cost 19.8 billion euros. If the social partners agree on annual inflation of 9.6 percent, the costs would amount to 16.4 billion euros.
The Momentum Institute counts one billion in state subsidies for companies through the reduction in corporate tax. The companies were left with 382 million by reducing the employer contribution to the family burden equalization fund (FLAF). The energy cost subsidy (1.88 billion euros) and the associated authorization (1.5 billion euros) brought a total of 3.38 billion euros into the companies’ coffers.
“In 2024 there will still be Corona aid for companies amounting to 584 million euros. The federal government is making 683 million euros available for the investment bonus. Employer unemployment insurance contributions will also be reduced for companies, and this tax treat will add up to a further 157.5 million euros “to book” said the APA.
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