Volkswagen plans closures, layoffs postponed, union says – DW – 12/20/2024

German union IG Metall said on Friday it has reached a deal with Volkswagen to avoid involuntary redundancies at the carmaker’s production sites in Germany by 2030.

Union representatives have been in talks for weeks with the company – Europe’s biggest automaker – over cost-cutting measures, including plans to close three plants and cut jobs.

“We have succeeded in finding a solution for employees at Volkswagen sites that secures jobs, protects products at the plants as well as enables important future investments,” union negotiator Thorsten Gröger said in a statement. “

Volkswagen said the deal also includes provisions to cut more than 35,000 jobs by 2030 in “socially responsible” ways.

marathon talks

The breakthrough on Friday came after marathon talks lasting 70 hours – the longest in the carmaker’s history.

Under the agreement, workers would have job security until 2030 but would have to forgo wage increases and cut bonuses in the coming years, Groeger said.

He said the package “takes into account the painful contributions of employees, but it also creates opportunities for the workforce.”

nm/kb (AFP, Reuters, dpa)