German Union Calls Public Sector Strike Over Pay Dispute

(Bloomberg) --

Some German public servants will start warning strikes on Tuesday after talks with the government on a pay increase for approximately 2.3 million workers stalled.

Ver.di union is demanding a salary increase of 4.8%, but no less than 150 euros ($178) per month, according to an emailed statement. It didn’t specify how many people will take part in the strikes.

The walkout would come at a moment when the German economy is trying to weather the impact of a deep recession caused by the coronavirus pandemic, with 96 billion euros of new borrowing planned for next year to cover a swelling budget gap.

German Interior Minister Horst Seehofer praised “constructive and intensive” discussions and expressed optimism that a solution can be found in the next round of talks, in an e-mailed statement.

Negotiations between the union and the government are scheduled to resume at the end of October in Potsdam, Ver.di said.

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