Volkswagen is considering keeping its German plants up and running while reinstating job security agreements until 2030, with the tradeoff being that workers would forgo bonus payments, according to an anonymous source.
Late last year, 100,000 workers walked out at nine Volkswagen factories across Germany, including its EV-only factory, bringing assembly lines to a grinding halt in the battle over the slashed pay, lost jobs, and the automaker’s future. The strike came after weeks of collective bargaining negotiations in which Volkswagen didn’t back down from its plan to potentially cut thousands of jobs and close factories in Germany – a first in the automaker’s 87-year history in the country. Volkswagen is considering closing at least three factories, lay off thousands of workers, and trim pay for those remaining by 10%, all as it fights to stay alive amid stiff competition from China, especially for EVs.
Source: Electrek: Read The Article
PSR Analysis: VW is radically restructuring its business to cut costs, to stay competitive, especially in the face of the new EVs coming from China. The real question surrounding this, is whether these measure will be enough, or are they just the start. PSR
Guy Youngs is Forecast & Adoption Lead at Power Systems Research
