Latest news with #GunnarKilian
Yahoo
6 days ago
- Automotive
- Yahoo
Nearly 20,000 Volkswagen workers take voluntary redundancy while others could work a 4-day week amid overhaul
Around 20,000 Volkswagen workers in Germany have so far agreed to take voluntary redundancy as part of a major overhaul aimed at cutting costs, the struggling auto titan said Tuesday. Europe's biggest carmaker, hit by fierce competition in its key market of China and a stuttering shift to electric vehicles, struck a deal with unions last year for massive job cuts in its home market. Some 20,000 workers had so far accepted redundancy offers, out of a total of 35,000 due to be shed by 2030 under the agreement, the 10-brand group said. The total figure represents a quarter of the Volkswagen brand's workforce. The jobs are being cut at the carmaker's core Volkswagen brand, and amount to about 30 percent of its workforce in Germany. Volkswagen plans to slash capacity by over 700,000 units, while its other brands, including Audi and Porsche, have also been trimming costs by cutting thousands of jobs. The redundancies and retirements, as opposed to layoffs, to meet Volkswagen's headcount reduction target are due to strong German labor laws that make it harder to dismiss employees en masse. 'We are on track,' VW board board member Gunnar Kilian said at a meeting with staff at the company's historic headquarters in Wolfsburg, western Germany. He said the 'socially responsible' job cuts as well as reductions in factory costs added up to 'measurable progress.' Volkswagen dropped a bombshell last year when it said it was mulling closing factories in Germany for the first time in its history. But after months of talks with unions and a series of walkouts, it decided against shuttering any plants, instead striking the agreement to cut jobs through voluntary redundancies. The Volkswagen brand has grappled with overinvestment and low returns on its electric vehicles, prompting a slew of changes. While the German auto giant navigates an overhaul within the company, it might also have staff working fewer days from 2027 onwards. As part of restructuring efforts, Wolfsburg, Volkswagen's biggest plant, could turn to a four-day workweek as it focuses only on EV production, works council head Daniela Cavallo said on Tuesday, according to Reuters. 'We have to make provisions now so that we can draw on them later … From 2027 onwards, a temporary four-day week is not an unreasonable scenario,' Cavallo told workers. This story was originally featured on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Toronto Sun
6 days ago
- Automotive
- Toronto Sun
Volkswagen says 20,000 workers agree to early departures
Europe's largest carmaker is in the process of reducing production capacity and headcount in Germany Published Jun 04, 2025 • Last updated 1 minute ago • 1 minute read Employees at the Volkswagen plant in Zwickau. Photo by Krisztian Bocsi / Photographer: Krisztian Bocsi/Bl Volkswagen AG said about 20,000 employees will voluntarily leave the company by the end of the decade as the carmaker restructures its German operations to cope with uneven demand for its vehicles. This advertisement has not loaded yet, but your article continues below. THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY Subscribe now to read the latest news in your city and across Canada. Unlimited online access to articles from across Canada with one account. Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on. Enjoy insights and behind-the-scenes analysis from our award-winning journalists. Support local journalists and the next generation of journalists. Daily puzzles including the New York Times Crossword. SUBSCRIBE TO UNLOCK MORE ARTICLES Subscribe now to read the latest news in your city and across Canada. Unlimited online access to articles from across Canada with one account. Get exclusive access to the Toronto Sun ePaper, an electronic replica of the print edition that you can share, download and comment on. Enjoy insights and behind-the-scenes analysis from our award-winning journalists. Support local journalists and the next generation of journalists. Daily puzzles including the New York Times Crossword. REGISTER / SIGN IN TO UNLOCK MORE ARTICLES Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account. Share your thoughts and join the conversation in the comments. Enjoy additional articles per month. Get email updates from your favourite authors. THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK. Create an account or sign in to continue with your reading experience. Access articles from across Canada with one account Share your thoughts and join the conversation in the comments Enjoy additional articles per month Get email updates from your favourite authors Don't have an account? Create Account The result shows that the company's restructuring plans are on track, Gunnar Kilian, Volkswagen's head of human relations and board member, told employees Tuesday at a workers assembly in Wolfsburg. 'With measurable progress on factory costs in Wolfsburg and socially responsible job cuts at Volkswagen AG's six German sites alone, we are accelerating our transformation,' Kilian said. 'Around 20,000 departures from the company by 2030 have already been contractually agreed.' Europe's largest carmaker is in the process of reducing production capacity and headcount in Germany due to rising costs, weaker demand in Europe and the rapid rise of Chinese competitors. VW brand management and labor leaders struck a deal in December to cut German production capacity by more than 700,000 units and decrease headcount by 35,000 jobs by the end of the decade. Sister brands Audi and Porsche are also cutting jobs to reduce costs. This advertisement has not loaded yet, but your article continues below. The VW brand has more than 120,000 employees in Germany. The 35,000 targeted cuts represent about a quarter of the brand's workforce and roughly 12% of Volkswagen group's employees in the country. Workers have agreed to leave the company by 2030 via early retirement, normal retirement or termination agreements. The bulk of the voluntary departures are retirements, though the carmaker has so far declined to say how many workers agreed to severance packages, for which it set aside €900 million last year. Employees also heard from the VW brand's chief financial officer, David Powels, who said the company needed to address 'excessive investment, low returns on electric vehicles and a break-even point that is too high.' Columnists Crime Sunshine Girls Columnists Other Sports
IOL News
7 days ago
- Automotive
- IOL News
Around 20 000 VW workers agree to buyout amid overhaul
German carmaker Volkswagen's logo is seen at a VW dealership in the Queens borough of New York. File picture: Shannon Around 20 000 Volkswagen workers in Germany have so far agreed to take voluntary redundancy as part of a major overhaul aimed at cutting costs, the struggling auto titan said Tuesday. Around 20 000 Volkswagen workers in Germany have so far agreed to take voluntary redundancy as part of a major overhaul aimed at cutting costs, the struggling auto titan said Tuesday. Europe's biggest carmaker, hit by fierce competition in key market China and a stuttering shift to electric vehicles, struck a deal with unions last year for massive job cuts in its home market. About 20 000 workers had so far accepted redundancy offers, out of a total of 35 000 due to be shed by 2030 under the agreement, the 10-brand group said. The jobs are being cut at the carmaker's core Volkswagen brand, and amount to about 30% of its workforce in Germany. "We are on track," VW board member Gunnar Kilian said at a meeting with staff at the company's historic headquarters in Wolfsburg, western Germany. He said the "socially responsible" job cuts as well as reductions in factory costs added up to "measurable progress". Volkswagen, whose brands also include Audi, Skoda and Porsche, dropped a bombshell last year when it said it was mulling closing factories in Germany for the first time in its history. But after months of talks with unions and a series of walkouts, it decided against shuttering any plants, instead striking the agreement to cut jobs through voluntary redundancies. AFP
Hindustan Times
03-06-2025
- Automotive
- Hindustan Times
Volkswagen says 20,000 workers agreed to voluntarily leave company by 2030
Volkswagen AG said about 20,000 employees will voluntarily leave the company by the end of the decade as the carmaker restructures its German operations to cope with uneven demand for its vehicles. Gunnar Kilian, Volkswagen's head of human relations and board member, told employees Tuesday at a workers assembly in Wolfsburg that the company's restructuring plans are on track. 'With measurable progress on factory costs in Wolfsburg and socially responsible job cuts at Volkswagen AG's six German sites alone, we are accelerating our transformation,' Kilian said. 'Around 20,000 departures from the company by 2030 have already been contractually agreed.' The total represents more than half of the 35,000 headcount reduction target, which the company aims to do without compulsory layoffs.
Business Times
03-06-2025
- Automotive
- Business Times
Volkswagen says 20,000 workers agree to early exits
[BERLIN] Volkswagen said about 20,000 employees will voluntarily leave the company by the end of the decade as the carmaker restructures its German operations to cope with uneven demand for its vehicles. Gunnar Kilian, Volkswagen's head of human relations and board member, told employees on Tuesday (Jun 3) at a workers assembly in Wolfsburg that the company's restructuring plans are on track. 'With measurable progress on factory costs in Wolfsburg and socially responsible job cuts at Volkswagen's six German sites alone, we are accelerating our transformation,' Kilian said. 'Around 20,000 departures from the company by 2030 have already been contractually agreed.' The total represents more than half of the 35,000 headcount reduction target, which the company aims to do without compulsory layoffs. BLOOMBERG
