German transport union reaches deal for wage increases

A trade union representing public transport workers in much of Germany has struck a tentative deal with employers to raise wages after acrimonious labour negotiations that included several brief strikes.

Under the deal, which covers around 5,000 public transport workers in several German states, staff would receive a one-off bonus of €1,500 ($1,655) and monthly raises of at least €300 each beginning in June under the deal, trade union Verdi announced on Monday.

The compromise does not, however, resolve a different ongoing wage dispute involving another union, the EVG, which represents many railway workers in Germany, including more than 180,000 workers at national rail service Deutsche Bahn alone.

The union has threatened further strikes amid separate collective bargaining negotiations with around 50 railway companies, including Deutsche Bahn.

The tentative agreement between Verdi and the transport employers' association AGVDE was struck during weekend talks in Fulda.

Verdi negotiator Volker Nüsse said the deal would provide workers in lower and middle salary groups with pay hikes of 9.3% to 13%, providing urgently needed relief amid rising prices.

"Naturally that is a very substantial raise in difficult times," said Jürgen Hänse, a lead negotiator for AGVDE.

Workers have until the end of May to ratify the deal.

Last week, Verdi organized strikes at several transport companies which affected buses and local public transport trains in parts of Lower Saxony, North Rhine Westphalia, Baden-Württemberg, Bavaria and Schleswig-Holstein in particular. The strikes were meant to increase pressure on the companies amid negotiations.