The national German railway company, Deutsche Bahn, announced today that it has agreed to a gradual reduction in the working hours of train drivers as part of a wage agreement reached with the GDL union, putting an end to months of disputes and strike actions.

"The dispute was challenging, but we have now managed to agree on an intelligent compromise," said Deutsche Bahn in a statement issued after announcing the agreement late Monday night.

A "working hours corridor" will be created, allowing train drivers to gradually reduce their working hours to 35 per week by 2029, while maintaining the same level of wages. Specifically, the work week "will be reduced to 37 hours in 2026, 36 hours in 2027, 35.5 hours in 2028, and 35 hours in 2029."

Those wishing to continue working 40 hours per week will receive a 2.7% increase in hourly wages, added Deutsche Bahn.

Under the agreement, which lasts for 26 months starting retroactively from 1st November 2023, both sides agreed that there will be no strikes for almost two years.

The two parties also agreed on a wage increase of 420 euros over two years and a one-time bonus of 2,850 euros to compensate for inflation.

This agreement puts an end to one of the most challenging and costly social conflicts faced by the German railways in recent years.

The German train drivers' union (GDL) organized a series of six strikes since the end of 2023, some of which lasted several days. The latest was conducted in mid-March.