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Employees stand at an information event organized by the General Works Council of Volkswagen AG at the VW main plant in Wolfsburg, Oct. 28, 2024. (Julian Stratenschulte/DPA via AP, Pool)

Volkswagen's employee council says the automaker plans to close at least 3 German plants

The head of Volkswagen's works council says the company has informed employee representatives that it wants to close at least three plants in Germany

By AP News
Published - Oct 28, 2024, 05:22 PM ET
Last Updated - Dec 16, 2024, 05:55 PM EST

BERLIN (AP) — Volkswagen has informed employee representatives that it wants to close at least three plants in Germany, the head of the company's works council said Monday.

Employee council chief Daniela Cavallo said at a meeting with Volkswagen workers at the company's Wolfsburg headquarters that management also plans cuts at other sites, and pledged to resist the plans, German news agency dpa reported. She said that “all German VW plants are affected by these plans. None is safe."

The company didn't give details of its plans. But chief personnel officer Gunnar Kilian said in a statement that “the fact is that the situation is serious and the responsibility of the negotiating partners is enormous,” dpa reported.

Volkswagen said in early September that auto industry headwinds mean it can’t rule out plant closures in its home country, and must drop a job protection pledge in force since 1994 that would have barred layoffs through 2029. CEO Oliver Blume cited new competitors entering European markets, Germany’s deteriorating position as a manufacturing location and the need to “act decisively.”

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