Having or not having a collective agreement makes a big difference, especially in the IT and communications sectors. According to the 2023/24 ICT Salary Comparison Analysis from IG Metall, ICT employees with a collective agreement earn an average of 14.3% more than their colleagues without one. The annual survey of salaries in the ICT industry, as of December 31, 2023, showed average income increases of 5.6% across the sector.

The analysis, which collected over 40,000 salary data points from 108 companies, revealed that companies with collective agreements perform better year over year compared to those without. The positive impact of collective agreements is particularly evident in the job family of software engineers. For example, in the senior software specialist role (Hierarchy Level 3), employees with a collective agreement earn on average 21% more — equivalent to about €15,000 more — than those without one.

Since May 2024, the Digital Team in Berlin has been working to expand collective agreements in the sector. For instance, at the software service provider CARIAD, a solid in-house collective agreement was agreed.

“The survey results confirm that employees in companies with collective agreements are better paid. Given the shortage of skilled workers in IT-related fields, IT professionals will increasingly consider whether their employer is bound by a collective agreement when making career decisions,” says Christiane Benner, First Chairwoman of IG Metall. “Our initiative enhances transparency for employees regarding salaries in the IT sector.”

Shorter Working Hours with a Collective Agreement

In its annual ICT Salary Comparison Analysis, IG Metall also examines average weekly working hours. Over three-quarters of employees with a collective agreement work 37.5 hours or less per week. In contrast, more than 96% of employees without a collective agreement work 40 hours per week. Despite working fewer hours, employees with a collective agreement have higher annual incomes.

Check and Compare Your Salary

The results of the 25th survey can be accessed online via this link. Additional background information and analyses are available for works councils, union representatives, and active employees in the workplace — contact the Digital Team via email if you’re interested.

For more details on salaries in the ICT sector, refer to our collective bargaining tables.