Volkswagen workers initiate warning strikes

Volkswagen employees across Germany have begun warning strikes, over potential mass layoffs, wage reductions and the threat of plant closures.

The industrial action, led by labour union IG Metall, marks the first walkouts at Volkswagen's domestic facilities since 2018.

The strikes signal an intensification of the ongoing discord between the car manufacturer and its workforce.

On 22 November, labour representatives at Volkswagen voted to initiate limited strikes at German operations starting early December, following unsuccessful wage and plant closure negotiations.

IG Metall negotiator Thorsten Groeger said: "If necessary, this will be the toughest collective bargaining battle Volkswagen has ever seen."

"Volkswagen respects the right of employees to take part in a warning strike," a spokesperson commented, noting the company's proactive measures to maintain a basic supply level for customers and mitigate the strike's effects.

IG Metall revealed that the warning strikes in Germany typically last only a few hours.

The union had previously proposed cost-saving strategies that could preserve €1.5bn ($1.6bn), including the omission of bonuses for 2025 and 2026, which Volkswagen rejected.

The carmaker has called for a 10% wage reduction, citing the need to decrease expenses and enhance profitability to protect its market position against economical Chinese competition and the downturn in European vehicle demand.

For the first time in its 87-year history, the company is threatening to close its plants in Germany.

Groeger said: "Volkswagen has set fire to our collective agreements and instead of extinguishing this fire in three collective bargaining sessions, the management board is throwing open barrels of petrol into it".

Labour representatives and management are set to meet again on 9 December to continue discussions on a new labour agreement for workers at VW AG’s German operations.

Unions remain committed to opposing any proposals that do not include a secure future plan for every Volkswagen plant.

"Volkswagen workers initiate warning strikes" was originally created and published by Just Auto, a GlobalData owned brand.

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