In a number of countries, labor cases are often taken to separate national labor high courts.
In this case, however, three employees who supported a works council filed a petition with a German labor court.
The right to strike is recognized by law, and there are special labor courts.
"The plan cannot succeed if regional labor courts give high salary increases," said an Economy Ministry official.
Local labor courts are now free to award the wage settlements that they see fit.
"And if I make a mistake in the process, it can go to a labor court and that can last another year."
The union has asked a labor court to rule on whether the company has technically dismissed them and has to pay severance anyway.
New specialist first instance courts will be established comprising general, criminal, personal status, commercial and labor courts.
He had to step down after a labor court convicted him of tax fraud and misuse of union funds.
Earlier she had won a lawsuit against the company in a labor court for wrongful dismissal.