NEW: Get Updates by Email

vw cost cuts

VW, Union Agree to Unprecedented 35,000 Job Cuts

VW, Union Agree to Unprecedented 35,000 Job Cuts

In an unprecedented compromise, Volkswagen reached an agreement with its German labor union to cut as many as 35,000 jobs in Germany – though the automaker agreed not to order immediate layoffs or plant closures and dropped a demand for 10% wage cuts. The move avoided a mass walkout by members of the IG Metall union but is billed as a way to curb VW’s bloated labor costs, among the industry’s highest.