Barbara Resch, the head of IG Metall in Baden-Württemberg, has rejected the idea of implementing longer working hours or material cost reductions as solutions to the crisis facing the auto industry. Speaking to “Tagesspiegel Background,” she argued that “we cannot win a race for lower labor costs” because increasingly, production worldwide is happening more cheaply than in Germany. While she admitted there is “immense pressure on labor costs” and that the stress among management is high, causing growing nervousness, she maintained that these drastic measures are not the answer.
The auto sector in Baden-Württemberg has already seen the loss of approximately 75,000 jobs since 2019, with the majority of these cuts occurring in the automotive industry. Recently, Mercedes management pressured IG Metall to increase the weekly working hours by five hours to reach 40 hours while keeping wages static. Resch countered this by pointing out that even at Mercedes, shifts and working hours have already been reduced due to weak demand. A mandated extension of working hours, she concluded, is not an appropriate anti-crisis measure. The union leader also conceded, “We have all rested on success for too long.”
Resch emphasized that the industry will only navigate the current economic difficulties if everyone works together to find solutions. While IG Metall is willing to contribute to a transitional phase to pull the industry out of its slump, this willingness is entirely contingent upon a major, collective effort that she currently does not see.
During the tariff negotiations expected in the autumn, Resch stated that the primary focus for IG Metall will be securing employment, rather than increasing incomes. She noted a discernible shift in worker mentality, with individuals showing a greater preference for secure jobs and apprenticeships. Therefore, the negotiations will concentrate on discussing and finding what is practically feasible to safeguard existing positions.
