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VW Works Council Claims Company Is Violating Job Cuts Pact
Volkswagen AG’s powerful works council complains that Herbert Diess, who heads the VW brand, is “flagrantly” violating the terms of a plan to shed 30,000 jobs by 2020.
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Volkswagen AG’s powerful works council complains that Herbert Diess, who heads the VW brand, is “flagrantly” violating the terms of a plan to shed 30,000 jobs by 2020.
The council complains that Diess has frozen new hiring until at least June and is trimming temporary jobs at a faster pace than the company and council agreed to in November. The reductions include 23,000 positions in Germany.
Workers want the cuts to occur through attrition only. They claim Diess is accelerating the process to show he is trimming costs quickly. The company insists the so-called Future Pact will be successful and that differences in interpretation of the plan will be jointly clarified along the way.
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