A leading regional party in Germany’s most populous state has called for closer cooperation between the government and businesses and stricter conditions for state subsidies. The Social Democratic Party of North Rhine-Westphalia (SPD) made the demand in a motion for the party’s federal convention, which was reported by the Rheinische Post.
According to the motion, companies that receive state aid must provide transparent investment plans for the coming years and make commitments to maintaining their locations and jobs. Unionized companies should be given priority and labor unions and works councils should be involved in the process. The motion also suggests that the rules of the Federal Coal and Steel Act should apply to companies that receive significant state support.
The party’s leader in North Rhine-Westphalia, Sarah Philipp, emphasized the importance of a well-funded transformation fund to support the economy. “The great challenges of our time, whether it’s climate protection, digitalization, or globalization, can only be overcome by working together” she said. The party believes that a societal tariff agreement with clear rules is necessary, where companies that receive public support must take responsibility, including job security, location loyalty and tariff binding, as well as co-determination.
The SPD also plans to focus on the steel production in Germany at its party convention. Philipp stated that the withdrawal of ArcelorMittal from the green steel production shows the need for an active economic policy that creates clear perspectives and builds bridges. “Green steel is not a vision of the future, it’s the key to a climate-neutral industry” she said.