Where Germany Is Breaking the Labor Mold
The chemical union agrees to reduce bonuses, ax an employee share-purchase program, and introduce flexible work hours over three years.
The IG Metall union has agreed to a two-tier wage system. Temporary workers will earn 10% less than current employees.
Workers at the Hanover tire plant will increase their workweek by 75 minutes and make other concessions worth about $20 million.
Some 1,050 workers will see their normal workweek jump to 40 hours. Temporary workers can be hired for the first time.
Workers at the machinery maker accept a second year of pay cuts, from 2.5% to 10%, in 1998. In return, workers will receive up to $11 million in Deutz stock.
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Updated July 17, 1997 by bwwebmaster
Copyright 1997, Bloomberg L.P.