Germany's most powerful union has won major gains for its members - the right to 28-hour workweek and a 4.3 percent pay hike, showing how quality of life issues are just as important to workers as wages.

The deal between the metalworkers' union Industriegewerkschaft Metall (IG Metall) and Sudwestmetall covers 900,000 workers in in the metals and electrical industries in Baden-Wurttemberg state in southwest Germany, where industrial giants such as Daimler and Bosch are located.  But the landmark agreement would be extended to 3.9 million workers in other industrial sectors across the country.

"The wage settlement is a milestone on the path to a modern, self-determined world of work," said IG Metall's chairman Jorg Hofmann.

The Union fought for these terms in a series of bruising talks punctuated by 24 hour strikes.  The agreement shows how Germany's economic boom has strengthened the hand of unions in wage negotiations this year. 

Workers will get a 4.3 percent wage raise from April, and other payments spread over 27 months.  They'll also be able to apply to reduce their work hours from th standard 35 per week to 28 for up to two years to look after their families - while preserving the right to return to full-time work.