Mexican Media Brands
VW Can Save $2 Billion with Fewer Models and Trim Levels
Volkswagen AG has identified steps to cut €1.9 billion ($2 billion) in costs by reducing the number of VW brand models and trim packages it offers, says Bernd Osterloh, the company’s top labor representative.
#labor
Share
Volkswagen AG has identified steps to cut €1.9 billion ($2 billion) in costs by reducing the number of VW brand models and trim packages it offers, says Bernd Osterloh, the company’s top labor representative.
The company is looking for €5 billion in savings as it braces for the impact of multiple emission test scandals. Osterloh tells reporters that reducing the number of models could lower costs in such areas as logistics without cutting jobs.
VW currently estimates it will spend about €8.7 billion ($9.2 billion) on the costs of recalls, regulatory fines and lawsuits related to at least 11 million vehicles tainted by emission test cheating.
RELATED CONTENT
-
Young Auto Engineers Say Their Employers Don’t Measure Up
Only one-third of U.S. automotive engineers below the age of 36 agree that their work experience matches the way their employers’ portray themselves publicly, according to new research.
-
Denmark, 10 Other EU Members Urge Piston Ban
Denmark and 10 other member nations of the European Union have urged the region to allow them to end gasoline and diesel engine sales by 2030.
-
Skilled-Trade Workers Reject GM Contract, Ratification in Limbo
The United Auto Workers union says its production workers ratified a new four-year labor contract with General Motors Co. by a 58% margin.