VW and the IG Metall union reached an agreement this Friday aimed at the potential closure of two of the ten factories that the automaker has in Germany, thereby saving around four billion euros.
According to the economic newspaper “Handelsblatt”, the agreement includes the sale of the Osnabrück factory and changes to production, including the possible closure of the Dresden production facility.
This agreement, which is not final, will allow for a reduction in the number of factories that VW planned to close as part of the announced restructuring plan.
It is worth noting that VW and worker representatives have been in collective negotiations since September regarding the collective agreement and the plan for cuts in Germany, in the context of declining sales in China and a decrease in global demand for electric vehicles.
The negotiations between the two parties progressed this week, with the start of the fifth round of negotiations on Monday, which continued until this Friday, including nighttime sessions with the goal of reaching an agreement before Christmas.
According to the publication specializing in economic matters, the outcome of the negotiations will now need to be approved by VW’s Board of Directors, as well as by the Workers’ Council.
