Volkswagen Holds Fourth Round of Wage Negotiations

FRANKFURT (Reuters) – Volkswagen and labor representatives will engage in a fourth round of discussions regarding wage cuts and potential plant closures amidst an escalating conflict that will see strikes at the company's main German sites on Monday.

The latest negotiations, which began in September, aim to substantially reduce costs in Germany to enhance competitive standing against cheaper Asian competitors entering the market.

Negotiations are set to commence at approximately 1230 CET, coinciding with 4-hour strikes across nine Volkswagen sites in Germany—marking the second wave of walkouts this week.

The IG Metall union, representing workers, remarked on Friday, "Perhaps this will bring the VW Board of Management to its senses. Otherwise we will continue to tighten the thumbscrews. But then it will get really, really uncomfortable." Workers firmly reject any proposals for wage reductions or plant closures, with the possibility of increasing pressure through potential 24-hour or indefinite strikes if the situation warrants.

Volkswagen maintains that both capacity and wage cuts are necessary due to decreased car demand in Europe, coupled with high costs that inhibit competition with emerging rivals.