Volkswagen AG and the German union IG Metall have agreed to begin negotiations on collective bargaining agreements and labour costs, with talks scheduled to start Nov. 24 in Emden and continue Dec. 15 in Zwickau.
According to the release, Volkswagen is seeking to reduce labour costs as part of its Future Plan 2030 strategy following what the company described as a significant deterioration in economic conditions since a labour agreement was reached in 2024.
The company said negotiations will also address additional workforce measures, including publicly funded transfer companies that would help employees transition to new opportunities through retraining and support programs. Volkswagen said it remains committed to existing job-security provisions despite the planned discussions.
The release said Volkswagen and IG Metall invoked a reopener clause in September that allows both parties to revisit the agreement in response to changing economic conditions. Volkswagen also terminated 10 collective agreements in September to create a framework for negotiations on cost reductions and competitiveness measures.
According to the release, Volkswagen previously agreed with IG Metall to reduce more than 35,000 jobs at its German operations by 2030 through socially responsible measures. The company’s Group Target Picture 2030 calls for an additional reduction of 12,000 positions at Volkswagen AG by 2030.
In a statement, Arne Meiswinkel, chief human resources officer for the Volkswagen brand, said the company must address labour costs, workforce flexibility and competitiveness to secure its long-term future.
