In his speech at the 2023 ver.di congress in Berlin, Federal Chancellor Olaf Scholz said that many citizens were concerned. However, he pointed out that, “we do have the opportunity to have a good future, and can do everything to make sure this actually happens”.

Better wages through greater collective bargaining coverage

Raising the minimum wage to twelve euros had been an important step, Scholz said, before expressing criticism of the latest decision made by the minimum wage committee. He pointed out that it had been a mistake to take a majority decision rather than come to a unanimous agreement, which would have been more appropriate given the social partnership between employers and employees. A decent minimum wage was an integral part of this social partnership in Germany, he said and continued by explaining that good wages were based not only on sound economic development but also on tariff partnerships and collective agreements. “In my role as Federal Chancellor I advocate for a renewed increase in collective bargaining coverage,” he stated. Scholz went on to say that the Federal Government was going to introduce a wage loyalty law to make sure that workers have to be paid based on collective agreements for any work carried out for the government.

The welfare state remains stable

“I am taking a stand against all those who say that the welfare state must tolerate cuts because the times are hard,” the Federal Chancellor declared. The Federal Government had already made numerous improvements through reforming the citizen’s allowance, increasing the coverage of housing benefits, and raising child benefits and supplementary child allowances, he said, adding that it would also make sure that the pension level will remain stable beyond 2025.

The congress’ motto “tomorrow needs us” expressed confidence that the future will be good, Scholz pointed out, but it also contained “a very clear message”. “This will not happen automatically. We are needed, and strong unions are needed,” Scholz declared, adding that this also meant to get involved. “This is what unions are for and why they are essential.”

“Tomorrow needs us” is the motto of the 6^th Federal Congress of the Public Services Union (ver.di). It takes place in Berlin from 17 to 22 September 2023. Close to 1,000 delegates are discussing over 900 motions concerning union, economic and societal policy, as well as electing a new federal board. The congress takes place every four years, most recently in Leipzig in 2019.

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