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“VW begins talks with workers about the future of the company.”

Virgilio Machado by Virgilio Machado
September 25, 2024
in Latest News
Reading Time: 2 mins read
0
VW inicia conversações com trabalhadores sobre o futuro da empresa

The car manufacturer VW has begun crucial negotiations about its future today, after announcing the possibility of closing factories in Germany for the first time in its history.

The management of the VW group has started discussions with worker representatives regarding the cost-reduction program, with over 3,000 workers from various locations across the country, according to the IG Metall union, gathered outside the conference center where the meeting is taking place.

According to “Automotive News Europe“, IG Metall has already indicated that VW workers may begin a series of strikes starting in early December and are insisting on a 7% wage increase.

The worker representatives, who have co-determination power over the company’s strategy, have committed to contesting the plans to close factories in Germany, threatening strikes that could paralyze the largest industrial employer in Germany.

“We are currently witnessing a new attack on our roots”, accused Daniela Cavallo from the VW works council. “Problems cannot be resolved by waving the threat of closing factories, abandoning our 30-year job guarantee, and scaring workers with news of mass layoffs”, she stated, addressing the demonstrators.

It should be noted that VW has, for the first time in its 87-year history, admitted the possibility of closing factories in Germany as part of a cost-cutting plan to address an “extremely tense situation,” aiming to cut ten billion euros by 2026.

Part of the challenges currently faced by the automotive sector is centered around the transition to electric mobility and the increasing pressure from Chinese electric vehicle manufacturers, who have lower costs and higher profit margins than their European and North American counterparts.

Tags: Automotive News EuropeDaniela CavallofábricasGreveGrevesIG MetallSindicatosVolkswagenVW
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