Car manufacturer - VW allows further employee contracts to expire
Due to weakening demand for electric cars, Volkswagen is continuing its job cuts in Saxony in 2024. In the course of the year, the contracts of almost 500 temporary employees will not be extended, a spokesperson said on Friday in response to an inquiry. The contracts of 269 employees have already expired this year. It was then feared that further temporary employees would have to leave their jobs. The company had made this dependent on the further development of demand. More than 10,000 people work at the Zwickau site.
Volkswagen had recently prepared its workforce for further cuts, including in personnel. "The situation is very critical," said brand boss Thomas Schäfer according to a post on the VW intranet. "We cannot do without noticeable cuts."
According to the information, production of the ID.3 and Cupra Born will be shut down in Zwickau and Dresden next week and paused for the rest of the year. The production figure has been processed, it said. Instead, production of the ID.4, ID.5 and two Audi models will restart in Zwickau from Monday. It had recently come to a standstill due to a lack of engines.
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- The Volkswagen factory in Zwickau, Saxony, is part of the German automotive industry that is undergoing significant changes, with VW planning to downsize its workforce due to decreased demand for electric cars.
- The contracts of nearly 500 temporary employees at Volkswagen's Zwickau plant will not be renewed in 2024, as the company continues its job cuts, following the expiration of contracts for 269 employees earlier this year.
- Despite the challenges, Volkswagen's Zwickau site, which employs over 10,000 people, will continue producing the ID.4, ID.5, and two Audi models starting Monday, after a temporary pause due to a lack of engines.
- In an internal message, Volkswagen brand boss Thomas Schäfer acknowledged the critical situation, indicating that noticeable cuts were necessary to address the weakening demand for electric cars in Germany and beyond, including in their car manufacturing facility in Zwickau, Saxony.
Source: www.stern.de
