Union Chief in Germany Warns of Collapse of All Industries

• Yasmin Fahimi, head of the German Federation of Trade Unions (DGB), calls for a ceiling on residential energy prices.
• She stated that the crisis could result in social and labour upheaval.
• Russia has curtailed exports through the Nord Stream pipeline by 60 percent.

Prior to the commencement of crisis talks with Chancellor Olaf Scholz on Monday, the head of Germany largest labour union warned that the collapse of the country’s most important industries could result from a reduction in Russian natural gas supplies.

“Because of the gas bottlenecks, entire industries are in danger of permanently collapsing: aluminium, glass, the chemical industry,” said Yasmin Fahimi, the head of the German Federation of Trade Unions (DGB), in an interview with the newspaper Bild am Sonntag. “Such a collapse would have massive consequences for the entire economy and jobs in Germany.”

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She stated that the energy crisis is already driving inflation to record highs. Fahimi calls for a ceiling on residential energy prices. Fahimi noted that increased expenses for CO2 emissions impose additional obligations on people and businesses. She stated that the crisis could result in social and labour upheaval.

Without providing specifics, Robert Habeck, the minister of economics, stated on Saturday that the government is working on solutions to alleviate the rising expenses faced by utilities and their customers. Earlier, he had cautioned that the tightening of Russian gas supply poses a risk of escalating unrest, comparing the scenario to the role Lehman Brothers played in causing the 2008 financial crisis.

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Russia has curtailed exports through the Nord Stream pipeline by 60 percent, and the pipeline will be completely shut down for repairs this month. Germany has expressed doubt that Nord Stream will restart delivery thereafter.