Workers at fast-food chains like McDonald’s and Burger King in Germany will get substantial pay increases under a tentative deal struck between the NGG trade union and the Association of System Catering (BdS) fast-food industry group.
Both sides confirmed on Wednesday that a breakthrough has been reached in negotiations over a sector-wide collective bargaining deal.
Should the deal come into force, it would bring wage increases of 9.8% to 18.73%, according to the NGG trade union. The union has already approved the deal, while the BdS plans to consider the deal until late Thursday.
The two sides have been negotiating since mid-2024 without any results until now, and workers at fast-food locations in Germany have staged repeated strikes to increase pressure on the companies.
NGG chief negotiator Mark Baumeister called the agreement a step in the right direction out of the low-wage sector after months of talks.
Under the revised wage deal, workers in the lowest three wage groups, which currently all receive an hourly wage of €13.02 ($14.20), would see increases in three stages and eventually earn between €14.30 and €15 after October 1, 2026.
More skilled workers in a higher wage group would for the first time earn more than €3,000 per month.
The first step of the wage increases would apply retroactively from March 1 under the proposed deal.
According to the NGG, the collective agreement affects around 120,000 employees, including those at McDonald’s, Burger King, Starbucks, Pizza Hut, Autogrill and Nordsee.
The BdS did not comment further on the results of the conciliation talks.
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