Against the backdrop of relatively high inflation in the country, the German authorities decided to meet the demands of local unions for a wage increase. Increasing the salaries of more than 2.5 million civil servants as a result of negotiations, informs Associated Press (AP).
The agreement on civil servant salary increases is calculated until the end of 2024. The salary level will be increased by several hundred euros monthly. At the same time, the Verdi union initially asked for a 10.5% increase, but reached a compromise. The article states that annual inflation in Germany reached 7.4% in March.
“The agreement provides for a tax-free one-time payment of €3,000 ($3,300) per worker, with the first €1,240 in June and monthly payments of €220 to be made until February. In March, the regular monthly wage for everyone will be increased by 200 euros, followed by a 5.5% increase in wages with a guaranteed minimum increase of 340 euros per month.
16 April International Monetary Fund (IMF) European Department Head Alfred Kammer declarationHe said that European countries expect slow economic growth and sustained high inflation in the short term. At the same time, consumer price increases in most developing countries of the region will be calculated in “double digits”.