Deutsche Bank faces union demand for 15.5% pay rise
Reuters
Published Dec 21, 2023 13:01
Updated Dec 21, 2023 13:45
FRANKFURT (Reuters) -The Verdi labour union is demanding a 15.5% pay rise for around 12,000 employees of Germany's Deutsche Bank (ETR:DBKGn), according to a statement by the union on Thursday.
The demand affects Deutsche Bank staff at its Postbank arm.
"The employees are not among the highest earners in the banking sector and have been severely affected by the high inflationary trends of the last two years," said Jan Duscheck, who oversees the banking industry at Verdi and who sits on Deutsche's supervisory board.
Deutsche Bank, Germany's largest lender, declined to comment on the wage demand.
Germany, which was heavily dependent on Russia for gas before the war in Ukraine, has been particularly hard hit by the rise in inflation as it scrambled for new energy sources.
The nation's inflation rates exceeded the euro-area average earlier this year although the rate of increase has slowed sharply in recent months.
The European Central Bank, after a period of rapid interest rate hikes, is now closely monitoring wage demands as it considers its next policy move.
"With the demand for 15.5%, we want to stop the real wage loss of the last two years," Duscheck said.
Deutsche Bank intends to cut the number of Postbank branches from around 550 to 300 by mid-2026 as it adapts to changing demand.
Verdi harshly criticised those plans in October, saying the move sends the wrong signal and comes at the wrong time.
The two sides said on Thursday they had patched up their differences after agreeing to hold off on any job cuts through Sept. 30.
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Written By: Reuters
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