Volkswagen (VW) is facing mounting opposition as it presses forward with plans to close plants and lay off thousands of workers, despite fierce resistance from unions.
The company, led by Thomas Schäfer, insists that these drastic measures are essential to ensure its survival in a changing market.
Schäfer emphasized the urgency of adapting to new realities, saying, “We have to reduce our capacities and adapt to the new realities,” and made it clear that plant closures are unavoidable. He also warned that voluntary measures like partial retirement and job terminations might not be enough to secure the necessary restructuring within the next few years.
“We can’t just put Band-Aids on it,” Schäfer said, stressing that delaying tough decisions would only worsen the situation later.
In response to union demands, VW’s board has already made concessions, including a 5% salary cut for management and foregoing scheduled pay raises. However, despite these efforts, IG Metall, Germany’s largest trade union, has rejected plant closures and layoffs. The union announced plans for strikes beginning in December to protest these moves, although it has not yet revealed specific details.
While the union acknowledges VW’s challenges, they firmly oppose what they see as an attack on workers’ interests. The situation remains tense as both sides prepare for a showdown.
