IG Metall Challenges Thyssenkrupp CEO Ahead of Contract Vote

Just days before Thyssenkrupp’s supervisory board is set to decide on extending CEO Miguel López’s contract, tensions have escalated between the company and Germany’s most powerful industrial union. IG Metall’s deputy chair and deputy supervisory board chief at Thyssenkrupp, Jürgen Kerner, publicly stated he would not support López’s contract renewal, citing dissatisfaction with the company’s restructuring efforts.

In an interview published Wednesday by Reuters, Kerner said, “As of today, I will not vote in favor of an extension, and that is the overall message from IG Metall.” He added that a contract extension should only be considered “once the individual has delivered results,” which he believes López has not done.

Stalled Progress in the Steel Division

Kerner’s main concern centers on the company’s steel unit, which he says lacks a clear future strategy. “There’s been no meaningful progress for over a year,” he argued. The steel division has long been a core part of Thyssenkrupp’s operations and faces increased pressure to modernize and adapt.

A spokesperson for Thyssenkrupp pointed to López’s recent comments made over the past weekend, in which he reaffirmed that restructuring the steel business remains a top priority.

The supervisory board is scheduled to meet on Friday, where it is expected to discuss López’s future and plans for spinning off the company’s naval division. López took over as CEO two years ago during a period of severe turbulence for the industrial giant.

Ongoing Tensions with Labor Representatives

Throughout the transformation process, López has clashed repeatedly with employee representatives. IG Metall has accused him of a lack of transparency, a claim the CEO has consistently denied.

Despite the union’s opposition, López’s contract extension still seems likely. In the event of a tie, supervisory board chairman Siegfried Russwurm has the deciding vote, which could tip the balance in López’s favor. It is highly unusual in Germany for a deputy chair of the supervisory board to oppose renewing a CEO’s contract, making this a noteworthy confrontation.

A Fractured Relationship

Kerner acknowledged that he may need to continue working with López for the foreseeable future. “Mr. López and I can work together professionally,” he said. “But I think there’s now a fundamental mistrust on both sides.” The 56-year-old trade unionist has served on Thyssenkrupp’s supervisory board since 2020 and also monitors management practices at Siemens, Siemens Energy, and Traton.

One of López’s most controversial initiatives is the proposed spin-off of the steel division into a 50:50 joint venture with EP Corporate Group, the energy holding company owned by Czech billionaire Daniel Křetínský. López has already sold a 20% stake as part of that plan.

Kerner is unimpressed by the progress of that deal as well. “We have officially requested talks with Mr. Křetínský—verbally, in writing, and even via WhatsApp,” he said. “We always receive polite replies saying he wants to talk at the right time, but for now he cannot provide any statements.” According to Kerner, that’s unacceptable and raises doubts about whether Křetínský is the right partner for the venture.