Higher Salary Starting in July 2026: How to Use the EVG Wage Increase to Boost Your Retirement Savings
31. July 2026
The 2026 GDL collective bargaining agreement is finalized: Following intensive but constructive negotiations, the German Locomotive Engineers’ Union (GDL) and Deutsche Bahn AG have agreed on two linear pay increases of 2.5 percent each—effective August 1, 2026, and August 1, 2027. For many train drivers, this is good news when they check their bank statements. However, it’s worth taking a closer look at their own disability insurance, because the disability pension does not automatically keep pace with salary increases.
An Overview of the GDL Collective Bargaining Agreement
The GDL had opened the 2025/2026 collective bargaining round in July 2025 and originally demanded an 8 percent increase in total compensation, with a minimum of 3.8 percent. The result is an agreement that provides for two pay increases of 2.5 percent each—effective August 1, 2026, and again on August 1, 2027. Both sides describe this as a sustainable improvement for railway operations. For you as a locomotive engineer, this means a concrete, predictable salary increase over the next two years—and thus also a good opportunity to take a thorough look at whether your existing insurance policies still align with your professional and financial situation.
If you are an EVG member rather than a GDL member, the separate EVG collective bargaining agreement applies to you, with an initial increase of 2 percent effective as early as July 2026. Check which collective bargaining agreement specifically governs your employment relationship.
Why Your Disability Insurance Coverage Might Be Too Low Right Now
In the event of a claim, disability insurance pays a monthly benefit in the amount agreed upon when the policy was taken out. If your salary increases—for example, as a result of the GDL wage agreement—the agreed-upon disability benefit usually remains unchanged unless you actively adjust it. The result: The gap between your actual income and your coverage in the event of an emergency grows with every pay raise. Anyone who took out disability insurance several years ago should not underestimate this effect—especially after two rounds of wage negotiations resulting in a total increase of 5 percent.
Why Train Conductors Should Pay Special Attention to Their Disability Insurance
As a locomotive engineer, you rely on your fitness for duty—which is regularly assessed through medical and psychological examinations in accordance with the Locomotive Engineer License Regulation (TfV). If you permanently lose this fitness—for example, due to a health problem that limits your required vision, hearing, or reaction time—you will often no longer be able to perform your current job—regardless of whether you are still generally able to work. Occupational disability insurance is designed precisely for this scenario, with a definition that specifically refers to the occupation you currently practice, not to some theoretical alternative occupation.
Why the Statutory Disability Pension Isn’t Enough
Without private disability insurance, the only option in an emergency is the statutory disability pension. This pension is based on your average earnings over your entire working life and, for most insured individuals, is significantly lower than your most recent net income—often not enough to cover ongoing expenses such as rent, loans, or family costs. Furthermore, it is only granted if you are practically no longer employable in the general labor market—the threshold is thus significantly higher than with occupation-specific disability insurance, which kicks in as soon as you can no longer perform your specific job as a train engineer.
What a Good Occupational Injury Insurance Policy Should Cover for Train Engineers
Make sure your contract is based on your “most recent job” and does not contain a blanket reference to other, theoretically possible occupations. Precisely because the profession of train engineer is so closely tied to physical and mental fitness criteria, the definition in the contract should match your job description exactly—including shift work, working alone in the cab, and the specific demands on concentration and reaction time.
| Gross Salary | After 2 GDL raises (+5.06%) | Standard rule of thumb for disability income (approx. 70–80% net) |
|---|---|---|
| 3,200 € | about 3,360 € | approx. 1,600–1,800 € disability pension |
| 3,800 € | about 3,992 € | approx. 1,900–2,150 € disability pension |
| 4,400 € | about 4,623 € | approx. 2,200–2,450 € disability pension |
These figures are simplified example calculations provided for guidance only and are not a substitute for an individual needs assessment.
How to Adjust Your Disability Insurance Policy
Many disability insurance policies offer what’s known as a “subsequent coverage guarantee”: In the event of certain circumstances—such as a pay raise, marriage, or the birth of a child—you can increase the insured amount without undergoing another medical exam. This is particularly valuable if your health status has changed since you took out the policy and it would be more difficult to apply for coverage from scratch. First, check whether your existing policy includes this option, and if so, within what timeframe you can take advantage of it after your pay raise.
Extended coverage guarantees are usually time-limited—often to just a few months after the triggering event. Anyone who misses the deadline must apply for the increase through the regular process, which requires a new medical examination.
Special Provision for Self-Employed Train Engineers
If you work as a self-employed train engineer for a rail transport company, the collective bargaining agreement does not apply directly to you—you negotiate your own fee. This makes it all the more important to regularly review your disability insurance coverage yourself, since no one will automatically adjust it for you. Without employer support, you’re also more reliant on solid private coverage in the event that you’re no longer fit to drive.
In addition, self-employed individuals should consider professional and general liability insurance: While disability income insurance and sick pay protect your income, the right liability insurance covers damages you might cause to third parties in the course of your work. These two components complement each other and should be considered together if you want to realistically assess your financial risk as a self-employed train engineer.
Frequently Asked Questions
When does the GDL collective bargaining agreement take effect?
The first increase of 2.5 percent will take effect on August 1, 2026, and the second on August 1, 2027.
Do I have to adjust my disability insurance after every pay raise?
It’s not necessary to review your coverage after every small raise, but it’s worth doing so at the latest when the gap between your salary and your disability pension becomes apparent—ideally every two to three years, or whenever your income has changed significantly as a result of a collective bargaining agreement.
What happens if I lose my eligibility to drive?
An occupational disability insurance policy with the appropriate job title will pay the agreed-upon pension if you are permanently unable to continue working in your most recent occupation as a train engineer for health reasons—regardless of whether another job would theoretically be possible.
Does the same pay increase apply to all train drivers?
No. GDL members will receive the raise described here, while EVG members will receive a separate raise that differs in terms of timing and percentage. For non-unionized or self-employed train drivers, any potential raise depends on their individual contract or employer and may need to be negotiated separately. Anyone who is unsure which rules apply in their specific case should check directly with the human resources department or the relevant union.
The Consumer Advice Center also provides general consumer information on disability insurance.
Is your disability income insurance benefit still equal to your salary?
We’ll check—free of charge and with no obligation—whether your disability insurance still matches your current income.
Insurance Expert · Railway Insurer / AWT Finanz GmbH · Berlin
Laura advises DB employees and independent train engineers on retirement planning, disability insurance, and coverage related to their day-to-day work on the railroad.
