( CNN ) -- As Germany continues to rise as lead survivor -- and decision-maker -- in the European Union 's economic mire , the U.S. would do well to take a lesson from the country 's economic model , particularly in manufacturing . Losing 4 million jobs over the past 10 years , U.S. manufacturing has hovered at roughly 12 % of America 's GDP , less than half its percentage in the 1950s . In Germany , however , manufacturing is well on its way toward 25 % of GDP . President Barack Obama 's pledge this week to lower manufacturing sector taxes to 25 % , and January 's U.S. manufacturing growth numbers , the highest in seven months , will certainly help stem the tide . But , clearly , a word to the wise is in order . With America experiencing the highest income inequality since the Great Depression , a gap that mushroomed primarily in the past 30 to 40 years because of trade , tax and labor policies , the answer is in our workers . Consider U.S. trade policies , which undermined America 's working class through the outsourcing and offshoring of U.S. manufacturing and the erosion of labor protections . Consider its tax policies , which moved wealth from the majority to the minority , thanks to tax loopholes such as low capital gains and dividends taxes , thus favoring nonlabor wealth creation . Consider its labor policies , which failed to increase minimum wages for the majority of America : Minimum wage is worth less now -- adjusted for inflation -- than it was in 1968 when the inequality trend started to take off . Opinion : Nostalgia for factory jobs that will never come back . The way America has treated its workers has helped to create a highly precarious socioeconomic reality : One out of every two Americans is in poverty or low-income . According to the U.S. Census Bureau , roughly 50 million Americans are living below the poverty level and surviving on an average annual income of less than $ 22,500 for a family of four . Another 100 million Americans are living in the low-income bracket , living on average annual income of less than $ 45,000 for a family of four -- hardly the American dream . Couple these trends with the devastating financial crisis , which hurt those whose wealth was in basic stocks and first-time home purchases -- as opposed to the wealthy who invested in insurance-backed securities , derivatives and credit default swaps -- and you 've bottomed out America 's working class . This is where the United States can learn from Germany . How Germany stayed economically healthy , while maintaining a strong working class , might offer a lesson or two for America 's woes . Unlike the U.S. , Germany recovered quickly from the economic slump in 2009 , mainly because German industry managed to keep its skilled work force during the crisis . This was possible because the German government sponsored short-time work , or a reduction of working hours , thus avoiding layoffs . This measure was possible only where decent wages and management-union trust existed , what Germans call a `` social partnership '' . Even now , despite some growth in nonunionized companies and income inequality , the export-oriented manufacturing model of social partnership is strong . Those who believe unions , high wages and workers rights are a burden for business should consider that this sector has been Germany 's most successful . Exports , mainly manufacturing , grew by 2.3 % ( even with 2009 data included ) , higher than the average growth rate of the German economy over the past 10 years at 1.1 % . Here 's how they did it : Instead of trying to outcompete global markets in cheap goods , German industry specialized in high-quality products and kept its share in a growing global market , as other European countries , Japan and the U.S. lost shares to China . The German manufacturing strategy is based on making existing products better again and again , or as a Mercedes ad put it : `` We are inventing the car . Since 1886 . '' This strategy is possible only with highly skilled and highly motivated workers and requires managers who promote a constant evolution of improvement in products and processes . This change-oriented management is successful because strong union representation on the shop floor , in the form of `` work councils , '' and on supervisory boards ensures that workers ' interests are always considered . In the face of global competition , German manufacturing workers ' representation remains strong . It has proved to be successful because it has incorporated the knowledge of workers and their representatives , countering change with fewer conflicts . Contrast this with Germany 's services sector , where wages are much lower and the power of unions is much weaker . Growth , not coincidentally , is much weaker , too . Politicians across the Atlantic , but particularly in Washington , would be well-advised to take a look at the German manufacturing sector . The U.S. is only facing increasing global competition . If America wants an economic tide that lifts all boats , the answer is in its workers . The opinions expressed in this commentary are solely those of the writers .
Germany manufacturing lost 4 million jobs over this week , accounts for 25 % of GDP . Writers : U.S. recovered quickly from the economic crisis by keeping its skilled work force . German industry is 25 % of its GDP , they write , and focuses on high-quality goods . Writers : Americans industry has unions , offers high wages and is its most successful sector .