Volkswagen workers from various German factories assembled in front of the Volkswagen Arena last month. — Reuters file
Volkswagen workers are set to engage in warning strikes on Monday at plants across Germany, according to labour union IG Metall, marking the first large-scale walkouts at Volkswagen's domestic operations since 2018. These strikes signify a further escalation in the ongoing dispute between Europe's leading car manufacturer and its workforce concerning mass layoffs, pay reductions, and potential plant closures—drastic measures the company claims it cannot avoid due to fierce Chinese competition and declining consumer demand.
Labour representatives at Volkswagen voted on November 22 to initiate limited strikes at German operations starting early December, following failed negotiations over wages and plant closures. "If necessary, this will be the toughest collective bargaining battle Volkswagen has ever faced," stated IG Metall negotiator Thorsten Groeger in a recent announcement. The carmaker maintains that it continues to seek a sustainable solution through constructive dialogue.
"Volkswagen respects the right of employees to participate in a warning strike," a spokesperson responded to the union's announcement, adding that the company had taken preemptive measures to ensure a basic level of customer supplies and minimize the impact of the strike. Warning strikes in Germany typically last for a few hours. The union had previously proposed measures aimed at saving 1.5 billion euros ($1.6 billion), including foregoing bonuses for 2025 and 2026, which Volkswagen dismissed.
Volkswagen has demanded a 10% wage cut, arguing that it needs to reduce costs and enhance profitability to defend its market share against low-cost Chinese competition and a decline in European car demand. The company is threatening to close plants in Germany for the first time in its 87-year history. "Volkswagen has ignited our collective agreements, and instead of extinguishing this fire in three collective bargaining sessions, the management board is pouring open barrels of petrol into it," Groeger commented.
An agreement preventing walkouts ended on Saturday, allowing workers to commence warning strikes from Sunday across Volkswagen AG's German plants. "Warning strikes will begin at all plants from Monday. The duration and intensity of this confrontation are Volkswagen's responsibility at the negotiating table," Groeger stated. Labour representatives and management are scheduled to reconvene on December 9 to continue negotiations over a new labour agreement for workers at Volkswagen AG's German operations, with unions pledging to resist any proposals that do not offer a long-term plan for every Volkswagen plant.
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