Volkswagen agrees deal to avoid Germany plant closures

Published On Dec 20, 2024, 3:40 PM

Volkswagen has negotiated a deal with the IG Metall trade union, which has prevented the closure of its plants in Germany and avoided immediate job losses. Although Volkswagen will cut over 35,000 jobs by 2030 through early retirement and other measures, the agreement ensures that no sites will close and no operational layoffs will occur. The deal comes amid a backdrop of declining demand in China and increased competition from Chinese car brands. The CEO of Volkswagen emphasized that this agreement signals a commitment to the company's future viability and investment in new solutions to meet current challenges.