Works council prevails: Volkswagen excludes redundancies until 2029

VW-Werk in Wolfsburg: Trotz des Sparkurses verlängert VW die Beschäftigungssicherung für die Mitarbeiter in Deutschland

Julian Stratenschulte / DPA

VW plant in Wolfsburg: Despite the austerity measures VW extends job security for employees in Germany

The carmaker Volkswagen Show stock market chart has agreed with the works council on job security for the core brand VW Passenger Cars at all German locations until 2029. This would exclude operational redundancies in the next ten years, “said Works Council Chairman Bernd Osterloh on Wednesday in Wolfsburg.

The extension was a central condition of employee representation for the digital transformation of the company, In March, VW had the Dismantling up to 7000 digits announced in the administration over the next five years. Above all, the jobs should be eliminated by not filling posts in the age-related retirement of employees. A job security offered VW only until 2025.

Now workers and employers have agreed that by 2023 only up to 4,000 jobs will be canceled and job security until 2029. In the technical development VW does not want to save on new jobs, but rather build. 2000 jobs are to be created where software and electronics are concerned.

As early as autumn 2016, the company had arranged an employee-side first major savings program, which will run until the end of 2020. It provides for the worldwide reduction of 30,000 jobs, 23,000 of them in Germany. In return, 9,000 new jobs in future areas such as software development are to be created. The program should bring about a € 3.7 billion improvement in earnings from 2020 and significantly increase plant productivity.

mg / AFX

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