Volkswagen rejects union plan to avoid layoffs and factory closures

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DW Español

Published on Nov 30, 2024
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Volkswagen's management has rejected the viability plan presented by the IG Metall union, calling it insufficient. The union's proposal offered a cost reduction of 1.5 billion euros by channelling future wage increases into an investment fund, waiving their immediate payment. In exchange, it demanded guarantees to keep factories open and avoid forced layoffs. The company argues that the plan does not solve the underlying problems, so it insists on a 10% wage cut and possible drastic measures such as factory closures to deal with the current financial challenges. The unions, on a war footing, anticipate a strike call for December.

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