Labor contract - Retail workers in Hesse to receive increased compensation.
Following over a year of disputes about pay rates, approximately 235,000 workers in the retail and mail order industry in Hessen are set to get a salary boost. The raise will come in three phased: backdated to September 1st, 2023 with a 5.3% pay hike, another 4.7% effective from April 1st, 2024, and finally an additional 40 euro increase from April 1st, 2025, augmenting this by a further 1.8%. This news was shared by the Hesse Trade Association. The recent agreement was built upon the pilot agreement for the sector on May 8th in Hamburg.
What is more, full-time workers are set to receive an inflation-adjusted, tax, and duty-free bonus of 1,000 euros by August this year. Their part-time counterparts will receive this special payment proportionately, and trainees will be granted 500 euros. As well, there will be a rise in the yearly contribution towards the industry-related pension scheme for employees, from 300 euros to 420 euros. The new trade agreement lasts for a total period of 36 months, ending on March 31st, 2026.
The ongoing wage conflict witnessed multiple warnings strikes in addition to top-level negotiations. However, these efforts failed to resolve the issue, which led Verdi Union to call for a minimum increase of 2.50 euros per hour and a one-year term in all regions.
