Deutsche Bahn and GDL trade union settle tariff dispute

After more than four months of disputes and six strikes by the train drivers’ union, Deutsche Bahn (DB) and the GDL union reached an agreement in their wage dispute on Monday, March 25, dpa reported. Both sides intend to announce the details of the agreement at separate press conferences in Berlin on the morning of March 26. Previously, both parties agreed to remain silent until the completion of negotiations on wages, the agency notes, assuring that DB passengers and clients will no longer face strikes, which have disrupted their plans for a long time.

Repeated GDL strikes affected millions of passengers, and Deutsche Bahn was only able to provide a basic set of long-distance trains during the strike period, dpa notes. The German economy was hit by the strikes, as they also affected freight transport. The Institute of German Economics (IW) estimated the cost of a nationwide railway strike at 100 million euros per day.

DB and GDL want to announce wage agreement

Deutsche Bahn and the GDL trade union want to inform the public about the agreement reached at a joint press conference in Berlin on Tuesday, March 26 at 11.30. It is reported that DB HR Director Martin Seiler will make a separate statement to reporters an hour and a half earlier.

Federal politicians have already welcomed the resolution of the dispute, which has been ongoing since November 2023. “This is an important signal of safety and security for the millions of passengers and travelers who are looking forward to the Easter holidays,” said Isabelle Cademartori, transport expert for the SPD faction in the Bundestag.

What did the union demand?

The sixth and last of the strikes by German machinists took place on March 12 and lasted 24 hours. GDL pointed to its “inevitability,” explaining that DB management has not presented a new proposal to resolve the conflict since January 19.

The main demand of the trade union was a gradual reduction of the working week from 38 to 35 hours for drivers working in shifts while maintaining the same salary. In addition, GDL sought from DB a one-off inflation compensation of €3,000 and a linear salary increase of €555. This is approximately 15 percent of the average salary of a German driver.

Deutsche Bahn management criticized this requirement due to a shortage of machinists, but in the previous round of negotiations the concern was ready to agree to a 36-hour work week with full compensation of wages in two stages by 2028. However, the union, under the leadership of its chairman Claus Weselsky, rejected this proposal. Last week DB and GDL announced that they would negotiate behind closed doors.