ERGO and union agree to job protection framework through 2030

ERGO and the German trade union ver.di have signed a Social Framework Agreement that will run through 2030, outlining workforce protections as the insurer pursues a technology-driven transformation strategy.

The agreement replaces a prior framework from 2021 and includes a commitment to avoid compulsory redundancies for operational reasons, broad protection for seven major office locations in Germany, and continued investment in employee training and reskilling.

The locations covered include Berlin, Düsseldorf, Hamburg, Cologne, Mannheim, Munich, and Nuremberg, along with regional directorates of ERGO’s exclusive sales organization.

As part of its strategy program through 2030, ERGO aims to strengthen its international position and increase profitability, with a focus on expanding its core business, increasing the use of artificial intelligence, and further developing its organizational structure.

To support workforce transition, the company will expand training initiatives, including a dedicated Reskilling Academy, with a focus on digital capabilities, language skills, and intercultural competencies.

ERGO operates in more than 20 countries and generated €20.8 billion in insurance revenue and €810 million in net income in 2024. The group employs around 37,000 people and is part of Munich Re.

“With our new strategy program, we are once again pursuing ambitious goals. This requires investments in new technologies and growth, as well as security, transparency, and development opportunities for our employees.” – ERGO Chairman, Dr. Oliver Willmes.

“Through constructive negotiations, we have succeeded in agreeing on social guidelines in a new collective agreement. In times of transformation, this creates security, transparency, and reliable prospects for employees. Such an agreement can serve as a model for other companies in the prosperous financial services industry, which all face similar challenges. One thing is clear: anyone who announces investments and growth must also demonstrate social responsibility. The high social standards of this new collective agreement provide a profound basis for this. ver.di will accompany the implementation of these agreements constructively and closely.” –ver.di lead negotiator, Deniz Kuyubasi.