German Handelsblatt: VW precedent: How much can a works council earn? Surprising court ruling alarms corporations004945

Bernd Osterloh

The former head of the VW works council earned 750,000 euros a year at its peak.

(Photo: Reuters)

The process of the high payment of the former VW works council boss Bernd Osterloh has a surprising aftermath. In its judgment, the Regional Court of Braunschweig set very narrow limits for the remuneration of works councils. These should not earn more than they did in their last position before they were elected, as the extended reasoning for the judgment shows. This is available to the Handelsblatt. Osterloh should therefore have received just under 50,000 euros per year instead of 750,000 euros at the top.
The reasoning is surprising. In the process, the judges acquitted four VW managers in September 2021. The public prosecutor had accused them of infidelity at the expense of the company. The prosecutors argued that the high wages paid to Osterloh and other members of the works council meant the Volkswagen Group had suffered damage of several million euros over the years.

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