September 03, 2024 – According to a report by Bloomberg, the Volkswagen Group is contemplating the closure of its German factories as a measure to further reduce expenses.
The potential measures, outlined in a statement released on Monday, are targeted at Volkswagen’s primary passenger car brands as well as other group entities. Additionally, the company is seeking to terminate an agreement with the labor union that guarantees employment until 2029.
It’s worth noting that an actual closure would mark the first time in the 87-year history of the Volkswagen Group that it has shut down a factory in Germany. Such a move would not only be a blow to the government of German Chancellor Scholz but could also spark a fierce conflict with the powerful labor union.
