Job cuts
Austerity-20,000 VW employees do without jobs
VW is in the crisis and wants to delete almost every fourth place. Severance and partial retirement are well received by the employees. But the group is not yet at the goal.
Europe’s largest carmaker Volkswagen is making a quick progress than expected when it comes to the planned job cuts. “Around 20,000 withdrawals from the company have already been contractually fixed by 2030,” said HR Gunnar Kilian, according to a statement at a company meeting in Wolfsburg. This means that more than half of the degradation of 35,000 jobs planned by 2030 has already been fixed.
After a long struggle, the company and union agreed on a renovation program for the core brand VW in December. By 2030, almost a quarter of the 130,000 jobs in Germany are to be eliminated. Operating dismissals were excluded, the dismantling should be carried out primarily via early retirement and severance payments. The group has expanded the partial retirement again for this and also offers severance payments for younger people who voluntarily leave.
Group sees itself on course when saving
“The first measures of the” Future Volkswagen “agreement” and we are on track, “said Kilian. “We accelerate our transformation with measurable progress in factory costs in Wolfsburg and the socially acceptable job cuts at the six German locations of Volkswagen AG.”
Non-target was not yet at the destination for the austerity course, added brand financial board David Powels: “But we still have a lot of work ahead of us for the future.” The aim is to make Volkswagen competitive and sustainable future -proof by 2029. With the austerity course, VW wants to reduce overcapacity and increase the profit margin of the low core brand.
“We have to work on our structural problems,” said Powels. VW invests too much and earn too little on its electric cars. In addition, it takes too long for a new model to reach the profit threshold. “Our chance is now to correct this imbalance together and to operate again.”
Load high costs and weakness in e-car
The Wolfsburg core brand has been suffering from high costs and overcapacity in its works for years. Above all, the pure electric locations Zwickau and Emden recently felt the weak demand for electric cars and had to reduce production. In addition, the group breaks down the company on its most important market, because local competitors such as BYD pass by.
In contrast, the group even had to start special shifts in the Wolfsburg main plant, where exclusively combustion engineers such as Golf and Tiguan are built. Unlike e-cars, the VW burners are currently selling well. But that won’t stay that way, warned works council chief Daniela Cavallo. The sales of the golf will continue to decrease, she said, according to a report on the intranet, which is available to the German Press Agency. “The tendency is unstoppable.”
Cavallo warns four-day week in Wolfsburg
At the same time, she warned that there could be problems with the utilization from 2027. The Golf is then to switch to Mexico, the main plant will then be converted for a planned e-golf, but the production will only start later. “From 2027, the four-day week, at times, is not a absurd scenario,” said Cavallo, according to participants. For this, provision must already be taken.
According to participants, CEO Oliver Blume and brand boss Thomas Schäfer also took part in the company meeting. Unlike at previous workforce meetings, both did not go to the lectern this time.
dpa
Source: Stern
