Part-time absences taken by a vast number of VW employees
Welcome to the latest shake-up in the automotive industry! Volkswagen, the renowned German car manufacturer, aims to whittle down its workforce by 35,000 employees by 2030 to regain competitiveness. As it stands, they're already well on their way, with around 20,000 employees agreeing to job cuts.
In a candid works meeting in Wolfsburg, Personnel Director Gunnar Kilian spilled the beans. Approximately two-thirds of these job cuts will be through early retirement, with the rest receiving severance packages or taking retirement, as confirmed by the company spokesperson. The severance amount can reach an astounding 400,000 euros, depending on the length of service with the automaker.
Volkswagen is hopeful that they can reach their goal of shedding 35,000 jobs in Germany by 2030. Their sights are set on approaching the large birth cohorts of 1969 and 1970, which could account for more than a quarter of the 130,000 existing jobs.
The company's current savings program for the core VW brand was a product of a tough wage dispute, which was resolved just before the turn of the year. Though the looming threat of plant closures and job cuts in Germany has temporarily been put to rest, the company's transformation journey is far from complete.
"The first measures of the 'Future Volkswagen' agreement are taking effect, and we are on track," said Kilian. "With measurable progress in factory costs in Wolfsburg and socially agreed job cuts at the six German sites of Volkswagen AG, we are accelerating our transformation."
David Powels, Brand Finance Director, adds a note of caution: "We still have a lot of work ahead of us for the future." The goal is to make Volkswagen competitive and sustainably future-proof by 2029.
Stay tuned for more updates as Volkswagen continues to navigate the turbulent waters of the automotive industry!
[Sources: ntv.de, chl/dpa]
- Volkswagen
- Job Cuts
- Severance Payments
- Transformation
Volkswagen is planning to pursue a transformation that aims to make the company sustainably future-proof by 2029, possibly involving the implementation of community policy regarding early retirements and severance payments for affected employees. This transformation in the automotive industry might also involve vocational training programs to prepare the workforce for new roles within the company, aligning with the goal of becoming industrially competitive.
