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
-
VW Workers Again Reject UAW at Tennessee Plant
Hourly workers at Volkswagen AG’s assembly plant in Chattanooga, Tenn., have again voted against having the United Auto Workers union represent them.
-
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.
-
Targets of U.S. Aluminum and Steel Tariffs Declare Counter-Measures
As expected, the European Union, Canada and Mexico have announced a broad array of counter-tariffs in response to U.S. import taxes of 10% on foreign aluminum and 25% on foreign steel that went into effect at midnight.