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30 April 2025

BVG Workers Approve Landmark Wage Deal Ending Strikes

The new agreement includes significant pay increases and bonuses for employees amid ongoing inflation concerns.

In a significant development for public transport in Berlin, the trade union ver.di has announced that 65 percent of its members at Berliner Verkehrsbetriebe (BVG) voted in favor of a newly negotiated collective agreement. This decision, made on April 28, 2025, marks the conclusion of a prolonged and contentious tariff dispute that had seen numerous strikes affecting the city's public transport system.

The approved agreement includes wage increases of up to 20.1 percent for employees over the next two years, along with a one-time payment of 1,500 euros. As part of the deal, the basic salary will rise by 380 euros starting June 1, 2025, followed by an additional 50 euros on January 1, 2026. Furthermore, the driver's allowance will increase from the current 100 euros to 225 euros in June 2025, and then to 255 euros in January 2026. Other allowances, including the shift allowance and alternating shift allowance, will also see significant increases, alongside a boost in the Christmas bonus for 2025 and 2026.

The negotiations leading to this agreement were marked by intense discussions and several warning strikes, which highlighted the pressing need for wage adjustments in light of rising inflation. According to ver.di, the discussions within the workforce were characterized by seriousness, reflecting the significant concerns among employees about their compensation relative to the cost of living.

Jeremy Arndt, the ver.di negotiator, expressed satisfaction with the outcome, stating, "The clear voting result is a good reflection of the differentiated debate that took place. We are now clearing the way for the urgently needed wage increases for our colleagues." He emphasized that the process had fostered a strengthened culture of solidarity among the workers, many of whom actively engaged in discussions and took responsibility during the negotiations.

Despite the majority approval, there remains a notable dissenting voice among the workforce. Sven Globig, a member of the ver.di tariff commission, cautioned that while the agreement represents progress, it is merely a step toward further enhancing the value of work at BVG. He noted, "It is clear that this conclusion can only be an interim step in the appreciation of our work at BVG. We will carry this culture of solidarity into future negotiations."

The history of the negotiations reveals a backdrop of financial strain for both the employees and the BVG. The company acknowledged a significant backlog in wage adjustments, as it had fallen behind compared to other public transport companies in Germany. This situation was exacerbated by the long duration of the previous contract, which limited the union's ability to negotiate timely salary increases in response to inflation.

The new agreement, which comes into effect retroactively from January 1, 2025, will provide immediate financial relief for BVG employees. The first salary increase will occur in June, with additional raises scheduled for the following year, ensuring that workers see tangible benefits from the agreement soon.

However, the resolution of this dispute does not guarantee a long-term peace in labor relations at BVG. The collective agreement is set to expire at the end of 2026, and with the existing framework governing work conditions also concluding at that time, the potential for future labor conflicts looms. The looming expiration of the collective agreement means that employees may once again find themselves in negotiations for better terms as early as next year.

During the recent negotiations, ver.di had called for a significant increase in the basic salary, initially demanding a rise of 750 euros per month. The final agreement, while falling short of this demand, still represents a substantial increase and reflects the union's efforts to address the financial challenges faced by its members.

As the public transport system in Berlin gears up for these changes, the focus will not only be on the immediate financial implications for employees but also on the broader impact on service quality and reliability for commuters. The BVG's management has expressed optimism about the agreement, with personnel director Jenny Zeller-Grothe stating, "I am glad that we have achieved a good and sustainable compromise after hard negotiations, bringing the tariff round to a conclusion that benefits all parties involved."

The recent strikes, which saw public transport grind to a halt on multiple occasions, underscored the urgency of the situation. The union's ability to mobilize its members for action demonstrated the collective power of the workforce, ultimately leading to a resolution that many hope will pave the way for a more stable labor environment in the future.

Looking ahead, the BVG and ver.di will need to navigate the complexities of labor relations carefully, balancing the needs of employees with the operational demands of running a major public transport network in one of Europe’s largest cities. The outcome of these negotiations will be closely watched, not only by those directly involved but also by commuters who rely on the BVG for their daily travel needs.

In conclusion, while the recent agreement marks a significant achievement for BVG employees, it also highlights the ongoing challenges in labor relations within the public sector. As the landscape continues to evolve, both the BVG and ver.di will need to remain vigilant in addressing the needs and concerns of the workforce, ensuring that the public transport system remains efficient and responsive to the demands of the city.