Deutsche Post to seek new wage floor

[TrueBlueTerrier]

Deutsche Post, Germany's dominant provider of postal services, has signalled it will push for a new minimum wage in the sector only days after a federal court rejected a wage floor set by the previous government.

Frank Appel, chief executive of the partly state-owned company, told the Financial Times that letter delivery was a shrinking market thanks to the internet. "Is it right, in a declining market, just to compete on salary costs?" he asked.

Mr Appel's thinking puts more pressure on Berlin, which already faces calls from unions to push again for a minimum wage after a court criticised the way Berlin had set the first rate in 2007.

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