Car crisis: VW hopes to reach an agreement with IG Metall before Christmas

In the dispute over tough cuts at Volkswagen, the company hopes to reach an agreement with IG Metall by Christmas. “I think there is a great desire on both sides that these discussions are not left under the Christmas tree for all employees,” said the procurement director of the core brand VW, Dirk Große-Loheide, at the “Handelsblatt Auto Summit” in Salzgitter. The manager said he hoped that this would be successful, but emphasized: “No one can guarantee that.”

Große-Loheide was optimistic that a good solution would be found in the end. “So far, we have always emerged from crises strengthened and with strength.” He is personally very confident “that we can find a common and strong path to real competitiveness,” said Große-Loheide.

At the same time, he reiterated the need to sustainably reduce costs. “In my view, this is essential.” This also requires the reduction of existing excess capacity. VW lacks customers for more than 500,000 vehicles. “If the demand is not there, we have to restructure our capacities and adapt them to the demand. I think that is unavoidable.”

With an adjusted capacity, VW could then operate a highly profitable business, according to the brand’s board member, who also manages procurement in the entire group. “That’s why I believe in the future,” said Große-Loheide. “But we just have to carry out the restructuring now.”

After three rounds of negotiations, there is no sign of an agreement in the collective bargaining dispute over wage cuts, job cuts and possible factory closures. IG Metall is now planning warning strikes from the beginning of December. Both sides want to continue their negotiations on December 9th.