Jul 31 2014
From our correspondent in Berlin,
Wages may increase Germany.1. It is the recommendation of the head of the Bundesbank, Jens Weidmann. In an interview with Frankfurter Allgemeine Zeitung published 2 Wednesday, he suggests a 3% increase in wages, not for the sake of social redistribution, but by simple economic fact. "The labor market in Germany is in a better position there a few years ago," says the representative of the monetary and fiscal orthodoxy. "In a number of sectors and regions, we are almost at full employment and the needs of labor is increasing. It is in the nature of things, and this is to be welcomed, as real wages rose more strongly than when the German economy was in a worse situation ".
The level of 3% increase is not set at random: it comes to adding a level of CPI inflation 2% and increased productivity by 1%. At each branch to negotiate based on its characteristics, he also added. "We do not immisçons us in wage negotiations," warns Jens Weidmann.
While Germany has introduced a minimum wage and a generalized growth of 1.9% is expected this year, the head of the However Bundesbank would contain wage demands. "Wage agreements that go well beyond an increase indexed to productivity would hurt growth and employment in Germany and would be a disservice to the euro area," he says. Having advocated the serious economic or austerity in Europe, Germany set a bad example.
German unions have already announced that they would negotiate wages to rise. In public services, this is an increase of 3.5% which is required for example. The IG Metall has in turn already obtained an increase of 2.3% on 1 July for employees Metallurgy and 1.7% in May 2015, 4%. Employers
worries about his side effects of these increases on the competitiveness of the German economy. The minimum wage, which has just been voted cause loss of jobs, do we also accused or price increases. Hairdressers, for example, have already revised their prices to rise.
Seen the rest of Europe, the increase in purchasing power and consumption in Germany is good news. France.3 put on this particular recovery in its main economic partner to improve the economic situation of its businesses. Prime Minister Manuel Valls 4devrait address the issue Thursday with Vice Chancellor and Economy Minister, Sigmar Gabriel, he receives Matignon. The head of government also intends to plead the cause of France to Germany for more flexibility and flexibility in reducing the French deficit.