Railway strikes in Germany: health protection, power play and clever alternatives
Paula Wernecke
Chief Human Resources Officer | Rechtsanw?ltin | Human Resources, People and Culture | Labor Law
Autors: Paula Wernecke & Muskaan Multani
Railway workers want more money - Deutsche Bahn says it's tight on cash.
The result: a two-day strike which started on Wednesday, August 11, and will continue till Friday, August 12. The strike has caused chaos amid summer holiday season, employees returning to their offices and the continuing Coronavirus pandemic.?
?What events lead to the strike??
The strike was called out by the German Train Driver’s Union (GDL) after they were unable to come to an agreement with Deutsche Bahn on pay raises and bonuses for the union’s members. The exact demand was a 1.4% increase in salary for 2021, a further increase of 1.8% in salary for 2022 as well as a one-time coronavirus bonus of €600.
Although DB did agree to a total raise of 3.2% in salaries, the raises were to come into effect for 2022. This would result into a wage freeze for the current year. DB states that it has to combat the massive economic downturn due to the pandemic. In addition, the recent floods in Germany have damaged the railway infrastructure, leading to further costs for the railway operator. Just a few days ago, CEO Richard Lutz reported its worst quarterly performance ever with €3.7 billion in losses.
Does the GDL have a right to strike?
Another party is involved in the negotiations. The much larger Railway and Transport Union (EVG) which agreed to the proposed wage freeze for 2021. This not only leaves to a fight between GDL and DB, but also between the two unions
Changes to collective bargaining rules in Germany introduced in the Contract Unity Law (TEG) mean the largest union in a given sector sets the wage scale. The smaller GDL could be trying to lure non-union workers or members of the EVG to their union to gain the upper hand in the power struggle.
Pursuant to section 4a of the Collective Bargaining Act (TVG) only the collective agreement of the trade union with the most members in the company is applicable. GDL also demanded employment contract clauses that allow every employee to refer to the GDL's collective agreement. This is to apply even where, according to the rules of the TVG, the collective agreement of the Railway and Transport Union (EVG) should actually apply.
It’s questionable whether such a demand can be complied to, as collective agreements do not regulate claims under employment contracts, but only those under collective agreements. If the GDL reacted properly with their strike, is debatable.
Health protection issues
Whether GDL is successful with their strikes remains to be seen. The chaos at the railway station has resulted into great concerns with regard to the health protection. As only a friction of trains is operating, those trains are fuller than allowed under the social distancing guidelines, which could lead to a surge of Coronavirus cases. Due to the strikes, DB has lifted the reservation freeze at 50% occupancy, which was introduced to reduce infection risks.
Was there an alternative to the strike?
Considering the health protection issues, the question comes to mind whether the situation could have been handled differently.
Considering that an agreement between the parties was not far off, further negotiations may have helped the parties to come to term.
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Coming to an agreement without a strike has been successful between the DB and GDL in the past. In 2017 the collective bargaining dispute between both parties was ended with arbitration.
Due to the collective bargaining autonomy, the parties are free to choose whether to engage a mediator or move forward with a strike if sufficiently supported by the union’s members.
Most European states follow similar approaches and grant autonomy to the parties. However, government offer support.
In France an optional arbitration is offered to come to consensus, Ireland founded the Labour Relations Commission to mediate between the disputing parties, in Greece mandatory participation in state mediation is required and the UK offers an optional arbitration by the independent arbitration service Advisory Conciliation and Arbitration Service (ACAS), to give some examples.
Taking an example at the successful arbitration in the past as well as the importance and promising results of arbitration in other countries and considering the Coronavirus protection requirements, preventing the strike should have been the priority.
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