VW and IG Metall Deadlocked in Key Labor Negotiations

Talks over wage cuts, job security, and potential plant closures continue into a second day with no clear resolution in sight.

• Volkswagen is pushing for a 10% wage reduction, cuts to bonuses, and potential plant closures, citing the company's financial challenges.
• IG Metall demands job security for 130,000 employees, the preservation of all facilities, and rejects permanent wage cuts as non-negotiable red lines.
• The fifth round of negotiations, seen as critical, has stretched over two days in Hannover with no significant progress reported so far.
• Both sides aim to reach an agreement before Christmas to avoid escalating strikes, though the union has warned of intensified actions in 2025 if talks fail.
• Previous warning strikes involved over 100,000 workers, and further disruptions could impact VW's production and financial stability.

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