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Volkswagen Labor Leaders Reject Plant Closures

Volkswagen labor leaders reject plant closures and stand by 2024 deal, open to alternative proposals for German production sites.

Emily Davis
ByEmily Davis- Senior Editor
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Top labor representatives at Volkswagen have reaffirmed their stance against plant closures, while remaining open to proposals for securing the future of underutilized production sites in Germany.

Works council head Daniela Cavallo, IG Metall chief Christiane Benner, and regional leader Thorsten Groeger emphasized that the 2024 agreement and its commitment to German plants must not be questioned.

“The fundamental situation has not changed – nor have the red lines set by the employee side. There will be no plant closures with us,” they stated.

Volkswagen's margins have been eroded by weak demand and costly electric vehicle transition. Pressure from Chinese competition and tariff hikes has intensified, while Middle East conflicts drive up costs.

CEO Oliver Blume is pursuing further savings, floating options like a plant-sharing deal with Chinese partners and the possible sale of Volkswagen's Osnabrueck plant to a defense company.

Labor officials remain open to proposals that uphold commitments made by management in 2024, pledging to fight anything counter to their principles of job security and quality work.

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