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It’s only spring, but the unions are already preparing for the fall wages. They demand significantly more wages, for everyone, not just for high earners.
The wage gap has widened alarmingly, says the trade union federation’s chief economist, Daniel Lampart: “After deducting inflation, people with lower and middle incomes have less money to live on today than they did a few years ago. Conversely, there has been a steep upward trend for top earners. They have up to 3,000 francs more available per month, even if you deduct inflation.”
Every year the trade union federation publishes its so-called wage distribution report. The latest edition shows: Low and medium wages – adjusted for prices, i.e. in real terms, after deducting inflation – have hardly budged in the past ten years. Recently they have even fallen.
Price increases since 2021
However, this has a lot to do with inflation from 2021. As a result, the wage increases on paper were more or less eaten up – depending on the industry. This was also recently recorded by the federal government’s wage statistics. Since the Covid pandemic and the outbreak of the war in Ukraine, prices have risen significantly, for example for energy.
This has different effects depending on your income level. Inflation hits low-income earners particularly hard. They have to spend – proportionately – much more money on everyday necessities than the top earners. That’s why union economist Daniel Lampart is calling for more accommodation from employers.
“We have noticed in recent years that wage negotiations are tougher. We have employers in the construction industry, for example, who no longer provide any cost-of-living compensation, even though they are doing well. This new hardship makes us very worried. We will now prepare for this in the wage round. But that means the wage negotiations are no longer what they used to be, there is a different tone.”
Harsher tone
Lampart is expecting a hot fall in wages. When asked about this, his counterpart, the employers’ association’s chief economist, Simon Wey, countered: “I have also heard this harsher tone. Nevertheless, companies always have to earn the money first. The economic situation has to allow it, and then you can pay higher wages.”
Wey also contradicts Lampart in his analysis of the problem: There is no lack of good will on the part of employers: “We have the problem much less with wage increases than with inflation. And this cannot really be influenced by the companies, on the contrary, this inflation also puts pressure on the fairy tales of the companies. The employer representative also admits that it is primarily those who earn little who suffer from real wage losses. This is undisputed, in contrast to the question of how much wages should now rise.
Are you satisfied with your salary?
Yes, I can afford anything I want
Yes, I can afford anything I want
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Yes, but I live frugally
Yes, but I live frugally
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No, I would like to have more money available
No, I would like to have more money available
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No, I have to turn over every cent
No, I have to turn over every cent
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