Energy crisis and collective bargaining: the chemical and pharmaceutical industries see themselves in acute danger

Collective bargaining will continue in the chemical and pharmaceutical industries in mid-October. The industry association publishes a survey according to which two thirds of the companies have massive existential concerns in view of energy prices. Further high loads are therefore not bearable.

In view of the exploding energy costs, more and more companies in the chemical and pharmaceutical industry fear for their existence. In a survey by the employers’ association BAVC, a good fifth of the companies stated that their economic existence was in jeopardy if the prices for energy or raw materials remained at the current level and did not fall again.

A further 40 percent stated that their livelihood would only be endangered if the prices for energy and raw materials continued to rise. A good 36 percent told the BAVC that they did not see their economic existence threatened in the foreseeable future.

Almost 400 companies with more than 230,000 employees took part in the employers’ association survey in September. The BAVC, which represents around 1,900 companies with 580,000 employees, sees the situation in the industry in the energy crisis as bleak. Hardly any company is still able to completely pass on rising prices to customers. In addition, seven out of ten companies expect their situation to deteriorate further in the coming months.

Before the upcoming collective bargaining round, BAVC CEO Klaus-Peter Stiller demanded that the IG BCE union adjust its expectations. “Additional permanent cost increases are currently not acceptable across the industry.” Competitiveness and business expectations have deteriorated significantly since the April bridge regulation.

In the spring, the BAVC and the IG BCE trade union agreed on a partial settlement and decided on a one-off payment of 1,400 euros per head as an interim solution due to the high level of uncertainty surrounding the war in Ukraine. The IG BCE calls for a sustained increase in fees due to high inflation. Talks are scheduled to continue on October 17th and 18th in Wiesbaden.