Volkswagen labor leader demands answers over reported plant closures, job cuts

BERLIN, Jul 10: Volkswagen's top labor representative has demanded immediate clarification from management following media reports that the automaker is considering factory closures and mass layoffs in Germany.

Daniela Cavallo, chairwoman of Volkswagen's powerful works council, criticized the company's leadership for leaving employees in uncertainty and urged Chief Executive Officer Oliver Blume to personally address the workforce over any restructuring plans.

"The Executive Board's treatment of the workforce could not be any more disrespectful," Cavallo said, adding that employees should not be left in the dark ahead of the holiday period.

German media reported this week that Volkswagen is considering ending vehicle production at several German plants, a move that could put around 40,000 jobs at risk. Reports said the proposed plan includes closing production at the Zwickau and Emden plants within five years, followed by the commercial vehicle factory in Hannover in 2032 and Audi's Neckarsulm plant in 2034.

A meeting of Volkswagen's Supervisory Board ended on Thursday without any public statement on the reported restructuring. According to German media, the board rejected management's proposal for plant closures and job cuts, with labor representatives and the state of Lower Saxony opposing the plan.

Cavallo called on management to provide employees with clear answers and end weeks of speculation over the company's future restructuring plans.