German Handelsblatt: Automobile group: Report: VW is considering reducing works council salaries005998

VW headquarters in Wolfsburg

The company stated that it would carefully examine the Federal Court of Justice’s ruling on employee representatives’ salaries.

(Photo: imago images/regios24)

According to a report, Volkswagen is having the salaries of a number of works council members checked in response to a ruling by the Federal Court of Justice. Talks about salary cuts were already underway, the news portal Business Insider reported on Thursday, citing those affected. Accordingly, VW has set up its own working group.
According to the report, the background is a decision by the Federal Court of Justice, which last week overturned acquittals for four VW HR managers in a dispute over the amount of salaries and bonuses for influential works councils.
The proceedings involved remuneration that several senior VW works councils received between 2011 and 2016. The bonuses paid for the employee representatives ranged between 80,000 and 560,000 euros a year.
The public prosecutor assessed the approval of the salaries as infidelity because VW lost profits and the payment of taxes was reduced. The Braunschweig Regional Court initially acquitted the manager of the allegation of infidelity in 2021.

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After the decision of the BGH judges, the district court has to deal with the case again.
VW did not comment specifically on the report on Thursday evening. The company said, however, that the BGH judgment would be carefully examined. Insofar as it contains statements on the scale of works council remuneration, VW will use these as a guide.
The VW works council did not comment on the report.
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