Germany’s biggest labor union struck a key wage agreement with employers that may raise pay for about 3.9 million workers and avert strikes in the country’s beleaguered manufacturing sector.

One of Germany's major industrial trade unions, IG Metall, has called for further strikes in the metal and electrical industry in two German states on Monday, in an attempt to ramp up pressure in the ongoing sector-wide collective bargaining talks.

Workers in Germany's electrical engineering and metal industries will launch strikes on Tuesday to put pressure on employers to increase their pay, according to a statement from the IG Metall union.