Finance

VW labour representative hopes for compromise before Christmas

Published by Global Banking & Finance Review

Posted on December 16, 2024

2 min read

· Last updated: January 27, 2026

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HANOVER, Germany (Reuters) - Volkswagen works council chief Daniela Cavallo is hoping for a good compromise this year in the German carmaker's row with workers over cost-cutting, she said ahead of the

Volkswagen Aims for Labor Compromise Before Christmas

HANOVER, Germany (Reuters) - Volkswagen works council chief Daniela Cavallo is hoping for a good compromise this year in the German carmaker's row with workers over cost-cutting, she said ahead of the latest round of negotiations on Monday.

"We don't want to go into the Christmas holiday with this fear," Cavallo said outside a hotel in the German city of Hanover, where Volkswagen and labour representatives are to hold their fifth round of talks.

Both sides are prepared for the talks to last several days, unless it becomes apparent on Monday that they are too far apart to come to an agreement this year.

Should that be the case, the talks will be paused until 2025, and unions have threatened strike action on an unprecedented scale.

Over 100,000 staff at nine plants across the country laid down tools last week in the largest strikes ever seen at the carmaker, protesting management's stance that wages must be cut and capacity downsized for the VW brand to stay competitive.

Sascha Dudzik of the IG Metall union reiterated on Monday the union's opposition to plant closures and mass redundancies.

(Reporting by Victoria Waldersee, Writing by Rachel More, Editing by Andrey Sychev)

Key Takeaways

  • Volkswagen and labor representatives are in negotiations over cost-cutting.
  • The talks may last several days or be paused until 2025.
  • Unions threaten unprecedented strike action if no agreement is reached.
  • Over 100,000 staff participated in recent strikes at VW plants.
  • IG Metall union opposes plant closures and mass redundancies.

Frequently Asked Questions

What is the main topic?
The main topic is Volkswagen's negotiations with labor representatives over cost-cutting measures and potential strikes.
What are the unions threatening?
Unions are threatening unprecedented strike action if no agreement is reached in the negotiations.
What is the stance of the IG Metall union?
The IG Metall union opposes plant closures and mass redundancies proposed by Volkswagen.

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