Business | Business in Germany and France

Europe's workplace revolution

Despite their protests, Germany's workers are starting to accept that they may have to work longer hours. Will their French counterparts be next?

|frankfurt and paris

“A VICTORY for common sense,” was how Germany's chancellor, Gerhard Schröder, greeted DaimlerChrysler's deal last week with employees at the Mercedes car plants in southern Germany. Workers agreed to receive lower pay in future, with longer working hours for some, in return for keeping their jobs until 2012. Because of union-led industrial action, this was not quite what Daimler had sought—a move to a 40-hour week, which Siemens, another big company, had won shortly before. Nonetheless, it was indeed further significant evidence of an outbreak of common sense among German workers. And about time too. German firms desperately need some labour market flexibility if their domestic operations are to remain at all competitive.

This article appeared in the Business section of the print edition under the headline “Europe's workplace revolution”

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