Stihl challenges the 35-hour workweek as outdated, signaling potential shifts in German labor negotiations
Executive summary: Nikolas Stihl, entrepreneur and representative of the Stihl company, publicly stated that the 35-hour workweek is outdated and not suited to current economic realities. His comments could influence upcoming autumn collective bargaining talks in Germany, where working time models are under discussion amid productivity and competitiveness concerns.
Who is involved: Nikolas Stihl (Stihl company), German employers, trade unions (such as IG Metall), and policymakers involved in labor negotiations.
Likely next: Employer associations may echo similar demands in negotiations, while unions are likely to defend existing working time reductions as hard-won gains.
Nikolas Stihl's recent comments challenging the 35-hour workweek as outdated reflect a growing sentiment among German industrial employers who view the current standard as misaligned with global competitiveness demands. Speaking ahead of autumn wage negotiations, Stihl argued that rigid working time models hinder flexibility and productivity, particularly in export-oriented manufacturing sectors facing pressure from international rivals with longer or more adaptable work schedules. His stance is not isolated; similar concerns have been voiced by automotive leaders at Volkswagen and Mercedes-Benz, who have questioned whether traditional workweek structures can sustain innovation and cost efficiency in a rapidly evolving industrial landscape. The debate over working time in Germany is increasingly framed not as a rejection of worker protections, but as a call for modernization — proposing alternatives such as annualized hours, flexible scheduling, or productivity-linked adjustments rather than a simple reduction in leisure time. Employers contend that without updating these frameworks, German industry risks losing ground in high-value engineering and machinery markets where responsiveness and project-based work are critical. Unions, however, warn that any shift must prioritize employee well-being and resist creeping normalization of overtime under the guise of flexibility. These discussions are poised to influence the upcoming collective bargaining rounds in key sectors, potentially leading to pilot programs or sector-specific agreements that test more adaptable working time models. While a nationwide abolition of the 35-hour week remains unlikely in the near term, the growing employer push signals a gradual evolution toward more individualized and company-tailored approaches — a shift that could redefine the balance between competitiveness and labor standards in Europe’s largest economy.
What's next — scenarios
Status Quo: Incremental Modernization (50%)
Minimal impact on labor costs; focus remains on minor flexibility adjustments within the existing 35-hour framework.
- Agreement on overtime compensation models
- No significant deviation from current wage growth targets
Employer Upside: Flexible Productivity Model (30%)
Potential reduction in per-unit labor costs through annualized hours and shift-based flexibility.
- Introduction of 'flexible working hours' in collective bargaining
- Shift toward project-based hourly tracking in manufacturing
Industrial Friction: Labor Disruption (20%)
Heightened strike risk and industrial action across German manufacturing sectors.
- Union-led walkouts in key industrial sectors
- Legislative opposition to working hour reforms
Structural Shift: Competitiveness Re-alignment (10%)
Long-term downward pressure on standard work hours as productivity-linked pay becomes mainstream.
- Major automotive/machinery firms adopting 32-hour pilot programs
- New national labor laws governing flexible scheduling
What to watch
- Outcome of upcoming autumn wage negotiations (Oct-Nov 2024)
- Union strike announcements in IG Metall sectors (next 90 days)
- Corporate earnings calls discussing productivity gains vs. labor costs (Q3/Q4 2024)
Timeline
- — Streit um Arbeitszeit: Unternehmer Stihl: 35-Stunden-Woche nicht mehr zeitgemäß (Handelsblatt)
- — Ausschreibung in der Firma: Interne Bewerbung in der Arbeitszeit schreiben - erlaubt? (Handelsblatt)
- — Volkswagen und Mercedes: Autobauer stellen Werke und Arbeitszeit infrage (Der Spiegel — Wirtschaft)
Analysis — what this means
Likely next events
- Autumn 2026 collective bargaining rounds in German manufacturing sectors (e.g., metal, engineering) to address working time demands
- Potential employer push for flexible or extended working hours in export-oriented industries by Q1 2027
Sectors affected
- Mechanical engineering
- Automotive suppliers
- Precision manufacturing
Regulatory implications
- German Working Time Act (ArbZG) may face reform discussions if employer pressure increases
- EU Working Time Directive compliance monitored if national deviations emerge
Historical parallels
- Introduction of the 35-hour week in Germany's metal industry in 1984 after major strikes
- Volkswagen and Mercedes debates over working time in 2026 (Spiegel, July 2026)
- France’s transition from 39 to 35-hour week in 2000 and its economic impacts
Key entities
Sources
- Streit um Arbeitszeit: Unternehmer Stihl: 35-Stunden-Woche nicht mehr zeitgemäß — Handelsblatt
- Volkswagen und Mercedes: Autobauer stellen Werke und Arbeitszeit infrage — Der Spiegel — Wirtschaft
- Ausschreibung in der Firma: Interne Bewerbung in der Arbeitszeit schreiben - erlaubt? — Handelsblatt