TheStar.com : Germany brought to a halt by strikes - by Iain Rogers
Germany brought to a halt by strikes - by Iain Rogers
Thousands of public-sector workers went on strike across Germany yesterday, shutting hospitals and causing travel chaos in a demand for higher pay that is fuelling inflation fears in Europe's biggest economy. Verdi, the service sector union that wants an 8 per cent wage increase for two million federal and local government staff, targeted the west of the country and major airports having already organized a wave of stoppages on Tuesday. About 100,000 workers took part in the walkouts, said the union which plans more strikes in the south today ahead of a fifth round of wage negotiations with employers.
Economists say if generous wage increases are adopted across other industries, they could fan inflation and make the European Central Bank less likely to cut borrowing costs, even as the economy slows.
