As celebrations marking German Unity approach, labor unions are urging the governing coalition to intensify its efforts on behalf of workers. Simultaneously, the Free Democratic Party (FDP) is calling for “bold and courageous reforms” from the coalition government.
Yasmin Fahimi, Chair of the German Trade Union Confederation (DGB), told the “Tagesspiegel” newspaper that the elimination of the wage gap between eastern and western Germany remains an unfulfilled promise of German Unity. She emphasized the government’s responsibility to enact a federal collective bargaining law to demonstrate its commitment to fair wages. Fahimi stated that increased collective bargaining coverage, particularly in eastern Germany, would be a significant step towards greater equality, as employees covered by collective bargaining agreements currently earn, on average, €700 more per month than those without.
Fahimi cautioned the government against pursuing austerity measures, arguing that such policies are unnecessary given the potential for a fairer tax system. She suggested reforms such as inheritance tax adjustments, a one-time wealth tax and the reintroduction of a wealth tax could benefit the strained national budget while also reducing the social divide, notably between the former West and East Germany.
Christiane Benner, Chair of IG Metall, called on Friedrich Merz to reflect on past managerial failings within industry during his remarks on the Day of German Unity. She expects Merz to remind employers of their responsibility to the nation’s citizens, asserting that current crises in the industrial sector are not the fault of employees, but often stem from short-term profit-seeking and flawed management decisions. Benner underscored the concern among workers and their families regarding job security and living standards.
Benner urged employers to prioritize investment within Germany and to refrain from disparaging the nation’s competitiveness. While acknowledging that some companies face pressure and require support, she stressed that such assistance should not be accompanied by further job cuts.
FDP Chair Christian Dürr has also challenged Merz to address long-standing issues with “bold and courageous reforms”. Dürr criticized Merz for a lack of implementation despite numerous promises, arguing that attempts to stimulate growth through debt have failed. He noted that German Unity embodies principles of freedom and courage, demonstrating the potential for economic recovery following significant transformations.
Dürr urged Merz to move beyond announcements and embrace a new direction, asserting that citizens are frustrated by delays and expect necessary reforms, particularly within the social welfare system, to be pursued without further obstruction.