VW, IG Metall union to start talks about new labor deal a month early

VW, IG Metall union to start talks about new labor deal a month early

Automotive News Europe — 2024-09-12

Automotive Industry

The works council said this was preceded by what it called an "unprecedented attack" on labor agreements earlier in September 2024.

Volkswagen Group and the IG Metall union will start talks at the end of September 2024 over a new labor agreement for six of the automaker's German plants after a job security scheme was canceled by the company earlier this week.

Europe's largest automaker has clashed with workers over proposals to shut German factories, which are suffering from high labor and energy costs as well as intensifying competition.

Talks between VW and Germany's most powerful union will start on 25 September 2024, roughly a month ahead of schedule, VW's works council said in a statement on 12 September 2024.

The works council said moving up the timetable for the talks was done in response to an "unprecedented attack" on labor agreements earlier this week, referring to VW's move to scrap a decades-old job guarantee at the six plants.

"The upcoming negotiations appear to be so complex in view of VW's extensive terminations that lengthy talks are expected," the works council said, adding that its head, Daniela Cavallo, would be part of the team leading negotiations.

The council said that negotiations were further complicated by VW's regular annual investment planning, which is coming up in the autumn, as well as the automaker's planned cost cuts.

VW had offered to bring forward talks with IG Metall — originally slated for mid- to late October — earlier this week as requested by unions, who have promised fierce resistance to any layoffs and factory closures.

IG Metall has warned that strikes were possible, in theory, starting in late November 2024.