VW faces protests in Germany over proposed job cuts and factory closures

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VW faces protests in Germany over proposed job cuts and factory closures

The Guardian · 2 months ago

Volkswagen's proposal to cut up to 100,000 jobs and close factories was formally put to its supervisory board on Thursday, prompting protests at 18 of the carmaker's German sites, including its Wolfsburg headquarters. Organised by the IG Metall union, the demonstrations targeted plants across the group's brands and marked a major test not only for Europe's biggest carmaker but for the wider German economy, given the scale of employment tied to the sector. Union chair Christiane Benner said the action sent "a clear signal to the board", while warning chief executive Oliver Blume he could not blame the workforce for recent failures.

Blume's "radical transformation plan" centres on the possible closure of four German plants — Hanover, Emden, Zwickau and Audi's Neckarsulm site — along with up to 50,000 associated job cuts, and may also involve spinning off core brand and components divisions. VW, which employs more than 650,000 people across brands including Audi, Porsche, Skoda, Seat and Bentley, says it is fighting for its long-term survival amid growing Chinese competition and a difficult shift to electric vehicles. Under the 1960s Volkswagen Act, closures of protected plants require a two-thirds board majority, making them virtually impossible against union opposition; however, Zwickau and Neckarsulm are not covered by the law, though shutting them would still likely trigger costly strikes and resistance.

  • VW puts plan to cut up to 100,000 jobs to its board.
  • Unions staged protests at 18 German sites on Thursday.
  • Four plants, including Zwickau and Neckarsulm, face possible closure.

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