German public sector workers have agreed on a wage deal with employers after a fourth round of talks ended at Potsdam, outside of Berlin.
The deal ends a wage dispute that has brought disruption to Europe’s biggest economy.
Minister for the Interior, Nancy Faeser said the agreement was “good and fair”.
Before the meeting, Ms Faeser (pictured) said she believed that a timely agreement was possible.
“The employees perform a good service in the general interest of all of us, and times are very difficult, so we must also pay them appropriately,” Ms Faeser said.
She said struggling municipalities, which were engaged in talks with the trade unions on behalf of the Federal Government, also had to be taken into account.
“The municipalities are not doing so well at the moment either, and we are talking about public tax money here,” the Minister said.
The agreement for around 2.5 million workers in the sector follows arbitration.
Employees are to receive a €3,000 ($A4,950) inflation payment and as of March 2024, incomes will rise by at least €340 ($A561).
The agreement, which lasts for two years, largely followed the arbitration recommendation published a week previously.
In recent months, Germans trade unions have paralysed public transport, day-care centres, hospitals and refuse collection with strikes across the country.
Ulrich Silberbach, of the DBB public sector employee’s union, said the compromise would not have been possible without the many warning strikes and protests over the past few months.
Berlin, 25 April 2023
