IG Metall calls for nationwide day of protest at Volkswagen

Group CEO Oliver Blume had already announced in the spring that the company was working on a new "Target Picture 2030" and intended to significantly step up the austerity course in the process. By 2030, Volkswagen has already announced the elimination of 50,000 jobs group-wide in Germany. Some 35,000 jobs are to be cut at the core brand, with the remainder at subsidiaries such as Audi and Porsche. VW has so far only confirmed that the Group Board of Management is "intensively working on a future plan for the realignment of the company," but has provided no details. The aim is a "comprehensive transformation."

Supervisory Board meets on Thursday

In Dresden, vehicle production recently wound down; for Osnabrück, the group is currently seeking a solution once cabriolet production there ends next year. More than 37,000 employees have already signed corresponding agreements on the job cuts. The compromise before Christmas 2024 ruled out redundancies for operational reasons; the job reductions were to be achieved primarily through partial retirement and severance programs. "Erst kurz vor Weihnachten kam es nach einem einwöchigen Verhandlungsmarathon zum Kompromiss. Betriebsbedingte Kündigungen wurden ausgeschlossen, der Stellenabbau erfolgt vor allem über Altersteilzeit und Abfindungsprogramme."

IG Metall chief Christiane Benner described Thursday's protests as "ein klares Signal an den Vorstand: Nicht mit uns!". She is demanding ideas and concepts for how to keep the plants fully utilized. Employees have already done their part, she said, referring to the collective bargaining agreement at the end of 2024. She also declared: "Die ständigen Angriffe auf die Rechte der Kolleginnen und Kollegen nehmen wir nicht ohne Gegenwehr hin."

Background: The role of Lower Saxony

At Volkswagen, the peace obligation remains in effect, so work stoppages are not initially planned. On Thursday, the Group's Supervisory Board convenes in Wolfsburg to discuss the plans. According to media reports, the group already has an alternative plan should the proposals fail in the Supervisory Board: an extraordinary shareholders' meeting could then be convened to allow shareholders themselves to vote. There too, according to the VW Law, the state holds a blocking minority and can prevent important resolutions by veto.

The state of Lower Saxony holds a 20-percent stake in VW and seats two members on the Supervisory Board. The majority there currently rests with the employee side; IG Metall chief Benner is even deputy chairwoman of the body. Investors, according to reports, worry that the VW leadership may be unable to prevail against the powerful union and the state of Lower Saxony as a shareholder. Following the publication of the "Manager Magazin" report, VW's share price had at one point fallen by ten percent.

BMW, Mercedes and Opel also under pressure

Collective bargaining issues are also on the agenda at other manufacturers. BMW boss Milan Nedeljković warned that the return on sales for the current fiscal year would be only one to three percent instead of the previously estimated four to six percent. BMW is also setting aside provisions in order to offer employees severance pay in exchange for waiving their jobs. Mercedes-Benz CEO Ola Källenius is advocating a return to a 40-hour week at the same pay. At Opel, programs with names such as "Garden Leave" and "Senior Leave" have been developed; the Stellantis brand was downgraded to a regional marque, and the development center in Rüsselsheim has already been significantly scaled back.

On the Friday before, according to IG Metall, a total of more than 33,000 employees had taken part in protests at Mercedes-Benz against the cost-cutting plans there. In Emden in East Frisia alone, more than 4,000 employees of the VW plant protested against the austerity plans, according to the union. IG Metall had already paralyzed production several times with warning strikes during the past 2024 collective bargaining dispute.