Volkswagen has the latest proposals from IG Metall and works council to reduce costs rejected as insufficient. “Even after intensive analysis, a sustainable saving of 1.5 billion euros cannot be determined,” said Europe’s largest car manufacturer after testing the concept.
“Although there can be positive effects in the short term, the measures mentioned will generally not lead to any lasting financial relief for the company in the coming years.” However, the aim is to remain in dialogue with the employees in order to work together to develop viable solutions.
IG Metall was disappointed. “It is extremely regrettable that the company brushes off the constructive suggestions from employees and the associated contributions from employees through press releases,” said a spokesman. “In the negotiations, IG Metall has taken a huge step towards Volkswagen’s employer side – the company has so far remained on the maximum positions.”
The proposal has already gone “hard to the limit of what is reasonable”. At the same time, the union contradicts the company’s information. The concept “very much corresponds to relief in the quantified amount,” said the spokesman.
Last week, IG Metall and the works council presented their own plan for the future of Volkswagen. They provided the company with one Cost relief of 1.5 billion euros in prospect. The union wants to put a possible wage increase into a future fund and not pay it out for the time being. In return, VW should Plant closures and redundancies for operational reasons waive. VW then announced that it would first have to evaluate the concept financially.
Closure of VW plants is in the offing
Volkswagen has so far refused any increase and is instead demanding a ten percent wage cut. Plant closures and layoffs for operational reasons are also on the table. According to company circles, the union’s plan does not change the existing excess capacity. In addition, the wage increase would only be postponed and would lead to an increase in costs in two years at the latest.
Collective bargaining is scheduled to continue on December 9th. Work stoppages are also possible from December 1st. IG Metall has already announced that it will call for warning strikes from the beginning of December, but has not yet given any specific dates.