Volkswagen, Europe’s largest automaker, is ramping up pressure on its workforce amid talks of potential job cuts and plant closures.
Distributed Leafleet
The company is calling on employees to make concessions as it prepares for negotiations with the IG Metall union, which begin on Wednesday.
In a leaflet distributed at six of its German sites, including Wolfsburg, Hannover, Braunschweig, Salzgitter, Emden, and Kassel, Volkswagen urged employees to accept necessary changes, according to Tag24.
The company emphasized the need to boost productivity and reduce labor costs, stating, “Volkswagen produces in Germany at too high a cost.”
The automaker also cited overcapacity as a major issue but did not specify any concrete measures.
A Day Before Negotiations
This push comes just a day before the start of wage negotiations with IG Metall, where discussions are expected to cover not only salary agreements but also recently terminated commitments regarding job security, the hiring of apprentices, and the pay of temporary workers.
The negotiations are a critical moment for Volkswagen, as it seeks to balance financial pressures with employee demands.
Volkswagen’s plea highlights the broader challenges faced by the company as it struggles to maintain competitiveness in a rapidly evolving automotive market.
As the industry continues to shift towards electric vehicles and faces increased global competition, Volkswagen is under significant pressure to streamline operations and cut costs.
The outcome of the negotiations will likely have significant implications for the company’s future workforce strategy in Germany. It remains to be seen how IG Metall will respond to Volkswagen's demands and what compromises, if any, will be reached between the two parties.
