Strikes Hobble German Railways, Airports

An ODEG train arrives at the main train station during a nationwide strike called by Germany's train drivers union GDL over wage increases, in Berlin, Germany. REUTERS/Annegret Hilse Purchase Licensing Rights
An ODEG train arrives at the main train station during a nationwide strike called by Germany's train drivers union GDL over wage increases, in Berlin, Germany. REUTERS/Annegret Hilse Purchase Licensing Rights
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Strikes Hobble German Railways, Airports

An ODEG train arrives at the main train station during a nationwide strike called by Germany's train drivers union GDL over wage increases, in Berlin, Germany. REUTERS/Annegret Hilse Purchase Licensing Rights
An ODEG train arrives at the main train station during a nationwide strike called by Germany's train drivers union GDL over wage increases, in Berlin, Germany. REUTERS/Annegret Hilse Purchase Licensing Rights

Germany faced strikes on several fronts on Thursday, as train drivers and airport workers walked off the job, causing chaos for millions of travellers and adding to the country's economic woes at a time of looming recession.

The strikes are the latest in a wave of industrial actions to hit Germany, where high inflation and staff bottlenecks have soured wage negotiations in key parts of the transport sector, including national rail, air travel and public transport, Reuters reported.

Industry has warned about the costs of such strikes, after Europe's largest economy contracted by 0.3% in 2023 and the government warned of a weaker-than-expected recovery.

A one-day nationwide rail strike costs around 100 million euros ($107 million) in economic output, Michael Groemling, head of economic affairs at IW Koeln, told Reuters during GDL's last strike in late January.

Train drivers began a fifth round of strikes in a long-running dispute at 2 a.m. (0100 GMT), after a walkout in the cargo division started on Wednesday evening.

Also on strike were airline ground staff at Lufthansa (LHAG.DE), opens new tab and security staff at some airports. These included Germany's busiest Frankfurt hub, whose operator Fraport said 650 of Thursday's 1,750 planned flights had been cancelled.

The train drivers' walkout, set to last until Friday afternoon, marks the beginning of a series of strikes planned by GDL as it pushes for reduced working hours at full pay.

"The motivation is high to follow through with the conditions that we have set as GDL members," said train driver Philipp Grams at the picket line in Cologne.

Just one in five long-distance trains was running, rail operator Deutsche Bahn said, but passengers showed some understanding.

"I don't like it much, but if it makes a difference, if people want to change something, why not?" said Katerina Stepanenko, standing on the platform at Cologne's main station.

Deutsche Bahn has accused the union of refusing to compromise.

"The other side doesn't budge a millimetre from its maximum position," spokesperson Achim Stauss said.

Economy Minister Robert Habeck, however, said he had lost sympathy for the strikers.

"It must be possible to find a solution and not push your own interests so radically at the expense of other people; I no longer think that's right," he told broadcaster RTL/ntv.

The ADV airport association, meanwhile, warned that strikes in the aviation sector, which on Thursday took place in Hamburg, Duesseldorf and Frankfurt, were damaging Germany's reputation as a centre for business and tourism.

Lufthansa ground staff began a two-day strike on Thursday, and further woes were brewing for Germany's flag carrier after cabin crews voted on Wednesday for industrial action, with the UFO union assessing the next steps.

Reporting its annual results, Lufthansa warned that strikes were a factor that would lead to a higher-than-expected operating loss in the first three months of 2024.



UK Treasury Chief Heading to China to Revive Suspended Economic, Financial Talks

FILE PHOTO: Chancellor Rachel Reeves speaks to the media after a tour of Maidstone Hospital on December 10, 2024 in Maidstone, Britain. Dan Kitwood/Pool via REUTERS/File Photo
FILE PHOTO: Chancellor Rachel Reeves speaks to the media after a tour of Maidstone Hospital on December 10, 2024 in Maidstone, Britain. Dan Kitwood/Pool via REUTERS/File Photo
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UK Treasury Chief Heading to China to Revive Suspended Economic, Financial Talks

FILE PHOTO: Chancellor Rachel Reeves speaks to the media after a tour of Maidstone Hospital on December 10, 2024 in Maidstone, Britain. Dan Kitwood/Pool via REUTERS/File Photo
FILE PHOTO: Chancellor Rachel Reeves speaks to the media after a tour of Maidstone Hospital on December 10, 2024 in Maidstone, Britain. Dan Kitwood/Pool via REUTERS/File Photo

Britain's Treasury chief is travelling to China this weekend to discuss economic and financial cooperation between the countries, as the UK's Labour government seeks to reset strained ties with Beijing.
The Treasury said Friday that Rachel Reeves will travel to Beijing and Shanghai and will meet with her Chinese government counterpart, Vice Premier He Lifeng, Reuters reported.
Reeves' trip is expected to revive the China-UK Economic and Financial Dialogue — annual bilateral talks that have been suspended since 2019 due to the COVID-19 pandemic and deteriorating relations in recent years.
A series of spying allegations from both sides, China’s support for Russia in the Ukraine war and a crackdown on civil liberties in Hong Kong, a former British colony, have soured ties.
Bank of England Governor Andrew Bailey and the UK Financial Conduct Authority's chief executive, Nikhil Rathi, are also in the delegation, according to the Treasury. Representatives from some of Britain’s biggest financial services firms will join the trip.
Officials did not provide details, but media reports have said senior executives from HSBC Holdings and Standard Chartered were included.
Reeves' visit comes after Foreign Secretary David Lammy travelled to China in October and Prime Minister Keir Starmer met with Chinese President Xi Jinping on the sidelines of the G20 summit in Brazil in November.
The meetings form part of a bid by Starmer, who was elected as leader in July, to strengthen political and economic ties with China, the UK's fifth-largest trading partner.
Officials said Starmer wanted a “pragmatic” approach to working with Beijing on global stability, climate change and the transition to clean energy.
But some in the opposition Conservative Party have criticized his stance and said trade ties should not come at the expense of national security and human rights concerns.
British political leaders and intelligence chiefs have warned repeatedly of the security threats that China poses. Calls to tackle the challenge grew louder last month when it emerged that an alleged Chinese spy had cultivated close ties with Prince Andrew and carried out “covert and deceptive activity” for China's ruling Communist Party, according to officials.
Nevertheless, Lammy told reporters in London on Thursday that “there are many areas of trade that don’t impact on national security.”
He said Reeves “will repeat many of the messages that I took to China.”
“What we’ve said is in this complex relationship with a global superpower, we are guided by three Cs”: challenge, compete and cooperate, for example in areas including health and climate challenges, Lammy added.