Posted 05/06/2019 10: 55: 37CET
The German firm will not renew up to 4,000 jobs in the non-productive units of Volkswagen Tourisms, Volkswagen Group Componenets and Volkswagen Sachsen
WOLFSBURG (GERMANY), 5 Jun. (EUROPA PRESS) –
The Volkswagen group will invest 4 billion euros in digitization projects until 2023, mainly in the area of administration, and will create at least 2,000 new jobs related to the modernization of the company that will focus on the headquarters of Wolfsburg (Germany).
The investment has been agreed by the board of directors and the works council with the aim of reducing the workload of the workers and speeding up the processes.
These projects include Information Technology (IT) solutions such as SAP 4 / Hana for administrative applications, a “highly efficient” purchasing system and new standard applications for human resources.
As a result, the German brand will not renew up to 4,000 jobs in the next four years in non-productive units of the Volkswagen Turismos, Volkswagen Group Componenets and Volkswagen Sachsen divisions.
“We are laying the sustainable foundation to make the company fit into the digital age, while at the same time creating new and modern digital and agile jobs and improving our productivity,” said Volkswagen brand operations director Ralf Brandstätter.
However, the company will guarantee uniform employment for the Volkswagen Group and Volkswagen Sachsen until 2029, for which compulsory dismissals are ruled out for the next ten years, and it will offer partial retirements for workers born between 1962 and 1964.
“The guarantee of employment until 2029 rules out compulsory redundancies in the next ten years, which sends an important signal: digitalisation brings changes, but jobs at Volkswagen remain safe.” As far as possible job cuts are concerned, it must remain Of course, all the jobs that are vacant will be redefined because we will not accept greater workloads, “stressed the chairman of the works council, Bernd Osterloh.
In addition, the Volkswagen management has also agreed to new investments in Industry 4.0 and an associated increase in productivity of 5% per year until 2023 with the aim of safeguarding the competitiveness of the brand.
For its part, Volkswagen will also increase by another 60 million euros (up to 160 million) the budget for the training of the departments affected by the digital transformation that the company is addressing.
The automobile consortium highlighted that the cost reductions that accompany the investments also help the company finance its transformation from its own resources.