So-called warning strikes that are aimed at putting pressure on management during impasse negotiations, will last four hours, the IG Metall trade union said in a statement quoted by Bloomberg.
The talks so far have been a failure
VW management is pushing for the unprecedented factory closures, thousands of job cuts and 10% wage cuts in its flagship brand. The reason for such drastic cuts is said to be weakening demand in Europe and the company’s decreasing importance in China, the largest car market in the world.
The company is trying to limit expenses in Germany, where labor and energy costs are among the highest on the continent, and due to low demand for cars, VW factories are underutilized.
The trade union and works council opposed these cutback plans and proposed their own savings plan that would avoid plant closures. The trade unionists’ proposals include reducing dividend payments, reducing part of the management staff, and reducing bonuses for employees next year and in 2026. The company ignored these suggestions.
A Christmas gift from the management
Thorsten Gröger, chief negotiator of the German trade union IG Metall, said that it’s a mockery when CEO Oliver Blume stands in front of employees and wishes them a Merry Christmas. “VW management board members would like nothing more than to put notice of termination notices under the Christmas tree for employees,” Gröger said.
