Thousands of Volkswagen workers across nine car and component plants in Germany are striking on Monday, bringing production to a halt as tensions escalate between the company and the IG Metall union over wages and the future of German operations.
According to Reuters, srikes are taking place at key facilities, including Volkswagen’s headquarters in Wolfsburg, the Hanover plant employing 14,000 people, and other major sites such as Emden, Salzgitter, and Brunswick. Workers at subsidiary plants under Volkswagen Sachsen GmbH, including the Zwickau factory producing electric vehicles, are set to strike on both Monday and Tuesday.
FILE PHOTO: Employees of Volkswagen AG march for higher wages during a ‘warning strike’ of Germany’s IG Metall metalworkers’ union, in Osnabrueck, Germany, November 6, 2024. The placard reads, ?Jobs for all VW sites – there has never been more fight than now?. REUTERS/Teresa Kroeger/File Photo
The strikes, which could extend into 24-hour or indefinite stoppages if negotiations fail, are expected to significantly disrupt Volkswagen’s output. The company is already grappling with declining deliveries and falling profits.
“How long and how intensive this confrontation needs to be is Volkswagen’s responsibility at the negotiating table,” said IG Metall’s spokesperson, Groeger, on Sunday.
Union representatives have vowed to resist proposals that fail to guarantee job security and a clear future for Volkswagen’s German plants. IG Metall’s call for strikes follows the expiration of a no-strike agreement on Saturday, which allowed employees to begin walkouts from Sunday.
At Wolfsburg, Hanover, and other locations, workers are staging demonstrations to emphasize their demands. Thousands are expected to attend rallies, underscoring the high stakes in the ongoing negotiations.
FILE PHOTO: Volkswagen workers from factories across Germany gather in front of the Volkswagen Arena, ahead of talks between unions and management on wage cuts in Wolfsburg, Germany, November 21, 2024. REUTERS/Victoria Waldersee/File Photo
Negotiations are scheduled to resume on December 9, with unions demanding a comprehensive long-term strategy for every Volkswagen plant in Germany.
The union recently proposed measures to save €1.5 billion, including foregoing bonuses in 2025 and 2026. Volkswagen rejected these proposals, maintaining its stance for a 10% wage cut, citing the need to slash costs and boost profitability to protect its market share.
Volkswagen has also warned of potential plant closures in Germany, a historic move for the automaker in its 87-year history. The company’s spokesperson affirmed the workers’ right to strike and noted that measures had been taken to ensure basic supplies to customers during the disruption.
The strikes add pressure on Europe’s largest automaker as it navigates shifting market dynamics, including the transition to electric vehicles and increased competition in global markets. The timing, ahead of the crucial holiday season, amplifies potential disruptions to supply chains and deliveries.
