Volkswagen Cost-Cut Measures

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I=7 VW Brand
Volkswagen weighing a 10% wage cut and a two-year freeze on wage increases at the Volkswagen brand, leading to cost savings of 4 billion euros-Handelsblatt

  • Volkswagen board is weighing reducing wages by 10% and freezing wage increases for two years at the Volkswagen brand, a plan that will save the company 4 billion euros, Handelsblatt reported citing company insiders.
  • Other measures include capping bonuses for top-tier employees, reducing bonusses associated with employee anniversaries and possible closure of German plants.
  • It’s unclear yet whether this is a deviation from its earlier plan to cut costs by 10 billion euros by 2026 or the 4 billion cost-savings is part of it.

https://www.reuters.com/business/autos-transportation/volkswagen-weighs-wage-cuts-bonus-reductions-push-save-4-billion-euros-2024-10-27/#:~:text=BERLIN%2C%20Oct%2027%20(Reuters),on%20Sunday%2C%20citing%20company%20insiders.

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