After tough negotiations lasting several days between VW management and the union, a breakthrough appears to have been achieved. But apparently two works fall victim to this.
After intensive negotiations lasting several days, the Volkswagen management team and the IG Metall union have apparently agreed on a compromise. But the price of the agreement is high: according to “Bild”, two locations in Germany will be closed or sold.
In concrete terms, these should be the locations Dresden and Osnabrück. The Transparent Factory in Dresden is apparently about to be rededicated or even closed completely. However, a buyer could be found for the factory in Osnabrück, for example from the arms industry.
However, there is a sigh of relief for the Zwickau and Emden locations: their closure, which was temporarily planned, has been taken off the table, reports “Bild”.
Major job losses are planned
However, the agreement does not mean the end of austerity. According to information from “Manager Magazin”, Volkswagen plans to cut more than 10,000 jobs in the long term. This must be achieved largely through natural fluctuations and unfulfilled retirements.
According to information from the “Manager Magazin”, significantly more than 10,000 jobs will disappear in the long term, mainly due to natural fluctuations, but also due to unfulfilled retirements.
Longest collective bargaining round of all time at VW
The negotiations between Volkswagen and IG Metall lasted five days and are considered the longest collective bargaining round in the company’s history, according to the union. About seventy representatives of both parties have been meeting since Monday in a hotel in Hannover to try to resolve the dispute. The main topics were wage cuts, factory closures and job losses. Both sides aim to reach an agreement before Christmas.
The results of these negotiations mark a historic step for the automotive group, whose decisions are likely to have a significant impact not only on employees, but also on the affected regions.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
