Volkswagen labour chief says confidence in CEO damaged but can be repaired
Employees say poor communication has deepened concern as Volkswagen weighs another 50,000 job cuts and possible factory changes, workers and unions said.
- On Tuesday, CEO Oliver Blume faced boos from about 10,000 workers at the Wolfsburg factory while defending a restructuring plan that could put up to 100,000 jobs in play.
- Rising competition from China and US tariffs have left Volkswagen with overhead costs around 30 percent higher than comparable manufacturers, prompting management to seek deeper cost reductions.
- Volkswagen works council chief Daniela Cavallo said trust in the executive board has been "damaged," though she emphasized the relationship is "not yet beyond repair." Workers criticized management's "disastrous" external communication.
- Under Germany's co-determination system, labor representatives hold half the seats on supervisory boards, meaning Blume cannot unilaterally impose cuts without negotiating with powerful labor unions.
- Executives will hold nine extraordinary meetings across German sites this week, attempting to address workforce criticism while navigating uncertainty regarding the long-term future of four plants.
145 Articles
145 Articles
Volkswagen CEO Oliver Blume spoke to his staff on Tuesday morning about the announced job cuts. The unions had feared that the number of layoffs would rise from 100,000 to 140,000. Blume announced that this will not be the case and that half of the job losses will take place in Germany.
Volkswagen Group Boss Oliver Blume Jeered by German Factory Workers Over Potential Job Cuts
Oliver Blume got a hostile reception from Wolfsburg factory workers on August 25 as the chief executive tried to defend a restructuring plan that could ultimately put up to 100,000 jobs in play. He and Volkswagen brand chief Thomas Schafer were there to explain another 50,000 job cuts on top of the roughly 50,000 job reductions already agreed with labor representatives. More than 10,000 workers gathered at the headquarters, booing the chi... (co…
Emergency meeting between Volkswagen management and workers fails - Plant closures in Germany possible
Oliver Blume, the Chairman of the Executive Board of the German automaker, began on Tuesday 25 August a tour of the group's factories to convince employees of the need to remove 50,000 additional posts.
DEXYPTAGE - The boss Oliver Blume believes that the situation of the group is "more than critical". Wind up against the job losses that could exceed 100,000, the employees prepare for the conflict.
Coverage Details
Bias Distribution
- 39% of the sources lean Right
Factuality
To view factuality data please Upgrade to Premium
