Summary
Volkswagen workers across Germany began strikes in response to plans to close three factories, cut pensions, and implement €18 billion in budget reductions.
Led by the IG Metall union, the strikes, involving tens of thousands of employees, are part of what unions promise to be VW’s “toughest wage dispute ever.”
The cuts follow a 64% drop in VW’s Q3 profits, driven by declining industrial orders, shrinking Chinese market share, and EU-China tariff tensions.
Union leaders demand executive concessions, with next week’s talks expected to determine escalation or resolution.
Just a small reminder that Volkswagen paid out 4.5 billion euros in dividends last year.