A majority of public sector employees are dissatisfied with the salary development of the past few years. Also under criticism: the classification and the allocation of levels. Ahead of the collective bargaining negotiations in the public sector, it is becoming clear where the social partners could start to make work at the federal and municipal level more attractive.
More than 77 percent of civil servants and employees are dissatisfied with the salary and wage development over the last five years. This is the result of a survey of around 5,400 employees by Public Service News. The results show what is important in the upcoming collective bargaining negotiations in the public sector.
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Public service salary check: frustration with classification and pay levels
The majority of employees are satisfied with the result of the last round of collective bargaining. A quarter rated the TVöD collective bargaining result from last year as very good or good, 31 percent gave it a satisfactory grade, and another quarter gave it a sufficient grade. Almost a fifth found that the mix of 3,000 euros inflation compensation, a base amount and a percentage pay increase was not sufficient.
Collective bargaining 2025: Debate about the level and scope of demands
However, the previous collective bargaining agreements were rather low and, overall, rarely offset the rising cost of living. During the Corona pandemic in particular, the unions had taken the tense situation in the municipalities into account. The high energy costs and the resulting rising food prices were only partially offset by the inflation premium. All of this is now reflected in the mood in the authorities, hospitals and daycare centers.
On October 9, the public sector unions will present their demands for the 2025 TVöD collective bargaining round (we report exclusively in the newsletter). So far, it is known that in addition to an increase in wages, the issue of working hours will also be discussed. In a preliminary survey conducted by ver.di at the beginning of this year, there was a desire to negotiate a reduction in working hours. Looking at the figures from our surveys, however, there are other levers that can be used to improve the mood in the public sector.
Public service: conflicting issue of classification
The figures show, for example, that there is great dissatisfaction with the classification and pay levels. When asked “Does the classification match your qualifications?”, only 38.5 percent of respondents answered yes. A majority of 61.5 percent do not feel that they are classified according to their own qualifications.
Important: for classification according to the TVöD, the following applies: “which specific activities are to be performed, how high the responsibility is, for example, and possibly how much professional experience someone has. This results in classification in the corresponding pay group and the associated level assignment within this group,” says haufe.de. The classification process is a complex process. This is precisely why there are opportunities to implement collective bargaining improvements here.
Apparently, a large proportion of those surveyed are working below their acquired qualifications. In times of a shortage of skilled workers in the civil service, this is an indication for employers to better exploit the existing potential of employees. In the annual survey by Public Service News on current working conditions, a large proportion of those surveyed stated that the lack of staff is the greatest burden. If positions remain vacant, this often leads to the remaining employees being overworked, and in the medium term there is a risk of absence due to illness. If public employers ensure that more employees work and are classified according to their qualifications, this leads to greater satisfaction and attracts new skilled workers.
Controversial classification in the public service
Many employees also feel that they are not properly assessed when it comes to classification. This is about the recognition of professional (previous) experience. Too often this is not recognized – regardless of whether it was acquired in the public sector or other areas. In these cases, people are hired at a lower level. The career path to the last level then takes longer accordingly.
Looking at the entire career, that is a lot of salary that is missing at the end. For employers, this is an effective way to save on personnel costs. Background: In the TVöD/TVL there are six pay levels in almost every pay group. You are in the first level for one year, in the second level for two years, in the third level for three years, etc.
Allowances as a lever for more money?
We also asked about bonuses in our survey. It is clear that many employees do not receive any bonuses – around 45 percent. At least 55.1 percent receive bonuses regulated by collective agreements. Capital-forming benefits are mentioned most frequently, ahead of performance bonuses. This is followed by:
- Special payments
- Family allowance
- Position allowances
- Hardship allowance
- Official allowance
- Police allowance
- Technician allowance
- Capital allowance
- Metropolitan area allowance
- Munich allowance
- Firefighter allowance
- Programming allowance
- Grid allowance
Something could also be done in the area of allowances in the upcoming collective bargaining round to make working conditions more attractive. The nursing sector is a good example. In the last TVöD collective bargaining round, the dynamic collective wage allowances were increased by 11.5 percent. They can also make a decisive contribution to satisfaction.
Data basis: Survey and distribution of pay groups in the public sector
We surveyed our readers on the website and in the newsletter. A total of 5,400 people took part. All questions were optional, so they did not have to be answered. The majority of those surveyed work in municipal service, followed by state and federal government. 44 percent work in administration. Around 10 percent each work in the areas of education/culture, police/justice and education/youth. The survey figures are not representative. To show how many employees are in which pay groups, we have prepared data from the Federal Statistical Office.