Postal delivery unions and TNT management have finally reached agreement on a 2% pay rise, which the unions accept will be coupled to significant job losses, news agency Dow Jones reported on Friday.

Some 3,500 people will lose their jobs and ‘a good social plan has been agreed for them,’ Dow Jones quoted union negotiator Peter Wiechemann as saying. In particular, workers aged over 50 will get a better deal, the TNT statement shows.
The pay talks have been going on for over a year. Last spring, the members of all three main postal workers unions rejected the suggestion they accept a pay cut or wage freeze in return for job security.
TNT wants to cut costs because of growing competition in the postal delivery sector. TNT’s main rivals Sandd and Selektmail pay workers per item of post delivered rather than an hourly wage. They are now disputing government efforts to make them employ more staff on ordinary contracts.
Meanwhile, in Germany, TNT has won a German high court ruling reversing a government regulation that extends a minimum-wage deal for some postal workers to the entire industry.
‘After two years and three court proceedings TNT is pleased that this unjust ordinance has now finally ceased,’ the company said. ‘TNT has always been in favour of fair minimum wage arrangements and continues to apply the labour conditions as agreed with the CPSTU union.’