VW plans to cut 12,000 more jobs as IG Metall union cries breach of faith
Volkswagen plans additional job cuts through 2030 via transfer companies. Wage talks for 130,000 employees begin on Nov. 24, with warning strikes possible from January.
Symbolic image · Photo: Gerd Eichmann / Wikimedia Commons, CC BY 4.0 (cropped and resized)
Volkswagen is heading for a tough labor dispute. The carmaker wants to cut about 12,000 more jobs by 2030, on top of the more than 35,000 agreed at the end of 2024. In addition to voluntary departure programs, it plans to use state-subsidized transfer companies that employees can join voluntarily. Job security through the end of 2030 remains in place and compulsory redundancies are ruled out, VW said.
IG Metall called it a “breach of faith in collective bargaining.” District head Thorsten Gröger said, according to Der Aktionär: “Before social security contributors step in, shareholders have an obligation.” He warned of a conflict that could become “bigger than anything this company has ever experienced.” The union is demanding a 5% pay raise and wants VW to withdraw its termination of 10 collective agreements covering areas such as working hours, vacation and bonuses. VW, by contrast, wants to cut costs quickly. “Since the 2024 future collective agreement, the economic situation has deteriorated drastically,” said Arne Meiswinkel, the brand's board member for human resources.
The first round of negotiations on the in-house contract covering some 130,000 employees at nine sites is scheduled for Nov. 24 in Emden, the second for Dec. 15 in Zwickau. The peace obligation ends on Dec. 31, after which warning strikes would be possible. The 2024 wage round took five rounds of negotiations and warning strikes.