Volkswagen has terminated the collective agreement for many employees and may have to lay off staff. At the same time, the board is criticized for going on a private plane trip to Sweden.
Volkswagen has warned that the group needs to save money and may be forced to close factories in Germany.
There is also an upset atmosphere at the group sibling Audi. A factory in Brussels may be shut down, which has caused the employees to resort to drastic methods.
Now Volkswagen has canceled the collective agreement and an agreement that guarantees jobs until 2029 for many factory employees. The trade union states that it is a “taboo that has been broken” and is now preparing for conflict with management.
– We will bitterly defend ourselves against this historic attack on our jobs. There will be no redundancies, says Daniela Cavallo, chairman of VW’s trade union, in an email to members.
“We will bitterly defend ourselves against this historic attack on our jobs”
The collective agreement does not appear to be renewed at the turn of the year. Now the management and the employees have a few months to come to an agreement. If staff are laid off, it won’t be until the middle of next year.
The plans are described as “irresponsible” by Thorsten Gröger, district manager at IG Metall and negotiator with VW’s management.
– This approach is not only short-sighted but also extremely dangerous. It risks destroying Volkswagen’s heart, he says in a statement.
According to IG Metall, Volkswagen’s board is on a “luxury trip” by private plane to the Artipelag art gallery outside Stockholm where they are “looking for the future with VR glasses”, something that is strongly criticized by the trade union.
Volkswagen states that the measures need to be implemented to save money and make Volkswagen more competitive. The brand faces tough challenges as electric car sales decline and competitors take market share.
Tesla has previously been criticized for not having a collective agreement for its employees in Germany.
