Berlin averts unlimited transport strikes as BVG cuts deal with union
It was a long and gruelling fight, but it paid off - at least for the union. On Monday, BVG and services union Verdi announced that they had reached an agreement in a months-long fight over pay and conditions for transport workers in the capital.
As a result, some 16,600 BVG employees are set to net an average 15 percent pay rise over the next few years. Drivers, meanwhile, are set to get 20 percent.
In concrete terms, this equates to a €430 pay rise per month, with €380 extra from June this year, and an extra €50 per month a year later.
The new contract runs from January 1st, 2025, to December 31st, 2026, with the first five months covered by a one-off bonus of €1,500. Christmas bonuses and bonuses for shift work are set to go up, and workers will be able to increase their hours from 37.5 to 39 per week in order to net higher earnings.
READ ALSO:
Where Berliners are facing travel disruptions this spring
Both sides will also be tasked with agreeing the terms for a 35-hour week by 2027 at the latest.
The result will see BVG workers soar up the rankings from the worst to the best-paid transport workers in the country. Currently, employees in the capital earn the least of all the German federal states. From 2026, however, they will stand in joint first place with Baden-Württemberg.
Advertisement
'A good day'
Monday's agreement brings to an end a conflict that had the capital teetering on the edge of weeks of transport chaos.
Though the deal must still be put to Verdi members, it looks certain that Berlin will avoid further strikes on its public transport network until 2027.
After four rounds of talks and five warning strikes, BVG and Verdi had agreed in late March to enlist the help of two third-party mediators to help them reach a conclusion.
SPD politician Matthias Platzeck was chosen to represent the transport company, and Left Party politician Bodo Ramelow was picked to negotiate for the union.
BVG workers vote in a Verdi ballot on unlimited strikes held in the capital on March 26th. Photo: picture alliance/dpa | Michael Ukas
The duo, which successfully thrashed out a deal for Deutsche Bahn workers back in 2017, presented their recommendations to the two parties on Monday.
READ ALSO:
Five things to know about Germany's public sector pay deal
The pressure to reach an agreement was high: on April 4th, 95 percent of Verdi members had voted to allow unlimited strikes if the mediation failed.
Speaking in a hastily announced press conference on Monday night, Verdi chief negotiator Jeremy Arndt applauded the outcome of negotiations. "We have achieved the maximum for employees," he said.
The union had originally demanded
at least €750 extra per month for transport workers
.
Advertisement
BVG, meanwhile, came much closer to the union than originally expected, exceeding its previously set pain threshold. At the press conference on Monday, however, chief negotiator Jenny Zeller-Grothe struck a positive note, stating: "Today is a good day."
According to Zeller-Grothe, the transport operator will attempt to cover the extra €140 million in costs with as little effect as possible on consumers. With no additional funding yet promised by the Senate, it is unclear how they plan to do so.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
DW
3 days ago
- DW
German minister to ask EU court to rule on migrant turnbacks – DW – 06/07/2025
Skip next section Welcome to our Germany coverage Guten Tag! DW is bringing you updates from across Germany, where Trump's tariffs, migrant turnbacks and a former operetta in Dresden are making headlines. After Chancellor Friedrich Merz met US President Donald Trump at the White House, German businesses are hopeful of a breakthrough in trade talks with the United States. Following a Berlin Administrative Court ruling that the government's policy of turning away migrants at the border was illegal, Germany's interior minister has vowed to go to the European Court of Justice. Also, the roof of the former state operetta building in Dresden, eastern Germany, is at risk of collapse after a major fire. We'll have the latest headlines, analyses, multimedia content, and DW on-the-ground reporting on everything to do with Germany.
DW
3 days ago
- DW
How Munich became Europe's tech startup capital – DW – 06/04/2025
Founders flock to Munich, Germany, to access capital, expertise, and networks that can help turn ideas into thriving businesses. It's like navigating a labyrinth — a journey hundreds of young entrepreneurs across Europe embark on each year in search of opportunity, innovation, funding, and success. They're also looking for the country and city that offers the ideal conditions to launch a business. For an increasing number, that journey leads to Isar Valley, named after the river that runs through Munich, and which provided the informal nickname for the Bavarian capital's technology and artificial intelligence (AI) scene, inspired by the Silicon Valley technology hub in California. Munich's Technical University and its entrepreneurship center are essential for startup founders Image: UnternehmerTUM Munich ranks 17th globally in the latest Global Tech Ecosystem Index compiled by Netherlands-based data provider Dealroom. When measured by high-performance, innovation-driven ecosystems with strong per-capita output, Munich rises to 5th place — just behind US tech hubs San Francisco Bay Area, Boston, New York, and Cambridge. From hackathon enthusiast to startup founder Greek entrepreneurs Nikos Tsiamitros and Georgios Pipelidis also chose to launch their startup in Munich, even though Tsiamitros says there wasn't a "personal reason" to move to the capital of the German southern state of Bavaria. "I didn't know anyone here and had never even visited the city," he told DW, but added that he was well aware of the "excellent reputation" of the Technical University of Munich (TUM). Nikos Tsiamitros (left) and Georgios Pipelidis were drawn to Munich because of its excellent startup environment Image: Georgios Pipelidis Tsiamitros arrived from Athens to pursue his master's degree in Munich, while Pipelidis came to TUM via Austria to complete his PhD. "That's where we started working together on navigation software for public transportation," Pipelidis told DW. They joined a hackathon — an event where programmers team up for several days or weeks to develop software, often around the clock — and they won the competition. "From that moment on, we started to believe that our navigation and localization algorithm could become a real startup," said Tsiamitros. Then, in March 2019, they launched their first startup business called Ariadne — derived from the Cretan princess in Greek mythology who gave Theseus a thread to find his way out of the Minotaur's labyrinth. A fitting metaphor for their software, Pipelidis noted with a grin. UnternehmerTUM provides support with substance But having a strong algorithm is one thing. Launching a startup, writing a business plan, and securing capital is another. That's where Munich's startup ecosystem offers a crucial resource — the UnternehmerTUM entrepreneurship center based at TUM. At UnternehmerTUM, the two business founders learned how to start and run a company, Pipelidis said, adding that thanks to that support, Ariadne was generating revenue just a few months after launch. Ariadne's main product has since evolved from a navigation software into an AI-based people-counting and movement analytics tool. Today, it serves airports in Munich, Glasgow, and Los Angeles, as well as the German cities of Leverkusen, Bielefeld, and Regensburg, plus several malls and retailers, including IKEA. Startups like Ariadne also benefit from hands-on mentorship. Barbara Mehner, managing partner of the Xpreneurs incubator at UnternehmerTUM is one of them. "We help early-stage startups enter the market by connecting them with investors, mentors, and potential customers," she told DW. KEWAZO 'liftbot' and the robotic revolution in scaffolding Among the more than 100 tech startups founded annually in Munich is KEWAZO, a company led by Greek founder Eirini Psallida. Eirini Psallida is one of many successful startup founders who have emerged from the Isar Valley tech hub Image: Eirini Psallida KEWAZO's core product is a battery-powered, remote-controlled robotic lifting system called LIFTBOT. This robot facilitates the transport and assembly of scaffolding and other construction materials. "All industries seemed fully automated — except construction," Eirini told DW, explaining the idea behind the company. Psallida named the startup after the Greek word kataskevazo, meaning "to produce." And like Ariadne, this startup was born out of a hackathon at UnternehmerTUM. Today, the company's robotic lift system is in daily use at major industrial and construction sites — from the chemical park of BASF in Ludwigshafen, Germany, to oil refineries in the US. KEWAZO's liftbots are seen on many construction sites Image: Flint Hills Resources "I can't imagine how we would have done it without UnternehmerTUM," Psallida told DW, as the incubator gave them access to hardware, software, legal and business advice. "And we got help securing public funding without giving up any equity," she added. One in four German unicorns founded by foreigners The KEWAZO team includes six founders from four different countries, reflecting the diverse nature of Germany's startup landscape. According to the latest Migrant Founders Monitor compiled by the Friedrich Naumann Foundation and Germany's Startup Association, a significant number of founders in the country have a migration background. "Fourteen percent of startup founders were born abroad," said Vanusch Walk, senior researcher at the Startup Association and lead author of the report. Among the founders of so-called unicorns — startups valued at over a billion dollars — the share is even higher at 23%, he told DW. The survey shows that migrant founders stand out for their "strong entrepreneurial mindset, willingness to take risks, and resilience" — traits that are crucial for startup success. Migrant founders still face higher barriers Despite their strengths, migrant founders also face notable challenges in Germany. "Top of the list is access to networks," said Walk, adding that coping with Germany's infamous bureaucracy is also difficult, as well as gaining access to funding, no matter whether public or private. Germany: More support for migrant entrepreneurs? To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video Pipelidis from Ariadne experienced this firsthand. One German venture capital firm made its investment conditional on replacing him as CEO with a German national. "They wanted a native speaker as the public face of the company," he recalled. "I understand that customers prefer dealing with someone who speaks fluent German — that's why all our salespeople are native speakers. But replacing me as CEO? That was too much," he said. In the end, Georgios Pipelidis and Nikos Tsiamitros secured support from a Greek VC firm. And despite the setbacks, their enthusiasm for Munich hasn't wavered. At the end of their own Ariadne thread still lies the Bavarian capital. This article was originally written in German.
Local Germany
3 days ago
- Local Germany
Inside Germany: How Merz handled his trip to the White House and one last spring holiday
Inside Germany is our weekly look at some of the news, talking points and gossip in Germany that you might've missed. It's published each Saturday and members can receive it directly to their inbox by going to their newsletter preferences or adding their email to the sign-up box in this article. Merz in the White House You've got to wonder how German Chancellor Friedrich Merz was feeling this week after his big day in the spotlight on the international stage was largely eclipsed by news about a falling out between US President Donald Trump and his former right-hand man Elon Musk. Merz did meet the US President in the White House -- first for a televised conversation in which the Chancellor gave Trump a copy of the birth certificate of his grandfather Frederick who was born in Germany in 1869. Merz then suggested that Trump was the "key person in the world" with influence that could be used to end the war in Ukraine. Trump, in turn, made several off-colour remarks: comparing Russia's war of aggression to children fighting, and later, referring to the anniversary of a turning point in the Second World War in Germany, asking, "That was not a pleasant day for you?" To his credit, Merz appeared to play the statesman successfully. It was reported that the German chancellor had studied videos of previous Oval Office ambushes and planned to stay calm and let Trump talk -- and indeed that's mostly what he did. He did correct Trump on a point about Ukraine, and in response to the baffling comment about WWII, he simply said: "This was the liberation of my country from Nazi dictatorship. We know what we owe you." Following the meeting, which also included a private chat over lunch, Merz has said he has "no doubt at all" that the US will stick with NATO going forward. He also voiced optimism about Trump being open to negotiating a deal around US-EU trade, which could potentially mitigate tariffs that are set to increase next month. But whether Merz's optimism is warranted remains to be seen. If Trump were to change his mind about NATO, trade and the war in it wouldn't be the first time. Following his long day with the President, Merz did a series of interviews in English with various media outlets. In one interview with Fox News, he used an uncouth turn of phrase and implied that antisemitism in Germany was primarily a problem imported by the immigrant population . The remark is perhaps a perfect example of Merz's dizzying ability to criticise far-right extremist politics in Germany and parrot its rhetoric in the same breath. Advertisement Germany prepares for the Pfingsten holiday Sunday is Pentecost, or Whit Sun, or sorry... wir sind in Deutschland, es ist Pfingsten. The holiday on Sunday extends into a public holiday on Monday, and plenty of people in Germany surely have plans for what is the last long holiday weekend until reunification day in October. If you haven't made plans yet, you might consider the Meistertrunk Show in Rothernburg, or the Karneval der Kulturen in Berlin, as reporter Tom Pugh suggested in our guide to what's open and closed for the holiday. Or, if you plan to use the extra day to drive elsewhere in Europe, you can save a few euros by checking how fuel prices compare over the border . Advertisement But whatever you do, make sure to stock up on your groceries by Saturday at the latest -- remember that most stores and businesses will be shut on both Sunday and Monday. And with that, we're off for the weekend as well. Enjoy!
