Bloomberg News

German Banks' 4.2% Pay Raise Proposal Rejected by Ver.di

May 03, 2012

Germany’s Ver.di labor union rejected a 4.2 percent wage increase over 30 months offered today by the country’s private and public banks to their 230,000 workers.

The offer equates to a pay raise of 1.3 percent over 12 months and is “entirely insufficient” and is “far below” raises won in other sectors of the economy, Berlin-based Ver.di said in an e-mailed statement.

The AGV Banken umbrella group’s offer is for increases in three steps through August 2014, and is the first wage offer in the third round of negotiations with Ver.di, the group said in an earlier statement.

“This offer does justice to the possibilities of companies and the interests of the workers,” Ulrich Sieber, AGV Banken’s chief negotiator, said in the statement.

Pay demands may increase banks’ costs as German lenders work to fill a 13.1 billion-euro ($17.2 billion) capital gap identified by European regulators and the sovereign debt crisis weighs on earnings. Ver.di won a 6.5 percent wage increase last month for about 2 million public-sector workers.

To contact the reporter on this story: Rainer Buergin in Berlin at

To contact the editor responsible for this story: James Hertling at

Ebola Rising
blog comments powered by Disqus