The German Confederation of Trade Unions (DGB) has accused the CDU‑led federal government of deliberately delaying the strengthening of tariff binding in Germany. The national action plan to encourage collective bargaining was scheduled for approval in the federal cabinet on Wednesday, but was pulled from the agenda for the fourth time by the pressure of Economy Minister Katherina Reiche (CDU), said DGB board member Stefan Körzell in an interview with “Tagesspiegel”. Körzell described the move as a scandal.
Under the EU minimum‑wage directive, countries with tariff binding below 80 % are required to submit such a plan to the European Commission. With the submission deadline having passed in November, the DGB warns that the government risks initiating an infringement procedure. The Commission will then decide on the consequences. “Reiche must finally abandon her resistance and bring the plan to the Commission as soon as possible” Körzell urged.
The share of companies and workers covered by collective agreements has been falling in recent years. Whereas three out of four jobs were tariff‑bound in the past, today only roughly one in two are. According to DGB figures, 18 EU member states still fall below the 80 % threshold, and nine of those countries have already adopted the action plan.
A key instrument for boosting tariff binding is the proposed federal Tariff Fidelity Act. Labor Minister Bärbel Bas (SPD) introduced the bill in October, but its intended passage in December 2025 has been postponed until now. Reports say the debate is now even being negotiated at the level of the parliamentary group leaders of the Union and the SPD.
Körzell calls on the CDU and CSU to abandon their opposition to the tariff fidelity law. “The Union keeps pushing new measures to burden workers further” he said. “The Tariff Fidelity Act must be passed by the Bundestag immediately”. He argues the urgency stems from the fact that many public contracts are being awarded through the special infrastructure fund, often at dumping wages, which he says cannot continue.
