VW union vows to block plant closures as CEO pushes job cuts ahead of board meeting
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9 days · 6 summary articles
Volkswagen’s leadership and Germany’s IG Metall union are locked in a public dispute over the future of four major plants ahead of a Friday board meeting, with the union vowing to block any closures.
Christiane Benner, IG Metall chair and deputy chair of Volkswagen’s supervisory board, accused CEO Oliver Blume of violating existing agreements by threatening to shut down factories in Emden, Zwickau, Hannover and Audi’s Neckarsulm. “With the IG Metall, the works in Emden, Zwickau, Hannover and Neckarsulm will not be closed,” Benner told the Augsburger Allgemeine . She called Blume’s push to cut another 50,000 jobs while targeting an 8 to 10 percent profit margin by 2030 “a major mistake,” noting the company’s “historical DNA” ties economic and social responsibility .
Blume has said the four sites lack a “competitive allocation” for the 2030s, according to reports citing his recent remarks . The supervisory board, which includes Benner, is set to meet Friday to review cost-cutting plans. IG Metall’s Thorsten Gröger told workers in Hannover on Monday that the union would not allow “a gradual bleeding out” of German sites, as finance chief Arno Antlitz called for lower production costs .
The conflict follows a December 2024 agreement that averted plant closures but locked in 50,000 job cuts by 2030 and strict savings targets for German operations. Volkswagen has since struggled with falling sales in China and U.S. tariffs under President Donald Trump, while Chinese automakers gained market share in electric vehicles .
Separately, investor Joshua Kushner said his firm would not have joined FIFA’s scrapped plan to sell World Cup commercial stakes had it foreseen the backlash. Kushner, whose Thrive Eternal was to lead a $4.2 billion investment in a new FIFA subsidiary, stated the proposal aimed to distribute capital equally among FIFA’s 211 member associations but “failed to appreciate the political dynamics of global football” . UEFA has since moved to subpoena Kushner and Thrive as it considers legal action against FIFA President Gianni Infantino .
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