The Wolfsburg ultimatum

This is the face and the head of the mobility turnaround in the group.
Picture: dpa

Replacing Herbert Diess right now seems foolhardy, especially since there is (still) no adequate replacement available. But this insight should not be confused with a license.

Volkswagen is not a company like any other. While half the world is currently talking hotly about the influence of politics after a partial nationalization of Lufthansa, the state of Lower Saxony has always been part of the fate of Europe’s largest automaker thanks to a 20 percent share of voting rights. Side by side with Bernd Osterloh, the most powerful works council boss in the republic, if not the western hemisphere. No CEO can stay in power against this block in the long run.

Herbert Diess knows this unwritten Wolfsburg law. Nevertheless, the Group CEO could not prevent punctual internal punches punctually punctually for the Supervisory Board meeting on Thursday that put him in dire straits. It’s a broadside of allegations against dies, ranging from neglected models – especially the bread-and-butter-car Golf 8 – to its allegedly too rude management style, too many media appearances to racism allegations against Instagram advertising.

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