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The German social contract for a long time was that the working class gets low wages, which keeps German exports competitive and combined with the large internal market, prices low. In return for making the owning class wealthy, workers also get a relatively good social support system and job security.

I'm not sure this model ever applied to A & CH, and might be starting to collapse in D as well.




For anyone who is unfamiliar with the German unions: job security is really extremely high.

For example even when a larger company gets acquired (or a merger happens) it could take a decade to consolidate overlapping services.




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