Car maker
Debate about the capacity utilization of the VW parent plant in Wolfsburg
The debate about the future capacity utilization of the main plant in Wolfsburg is growing in intensity. Photo: Julian Stratenschulte / dpa
© dpa-infocom GmbH
VW has long been discussing how to secure as many jobs as possible in the electric age – not least at the Wolfsburg headquarters. CEO Diess is said to have made some brisk statements again.
Is Volkswagen threatening a new conflict about the future of jobs in the transition to e-mobility? In any case, the debate about the capacity utilization of the main plant in Wolfsburg is becoming more heated – a few weeks before decisions are made on investments for the coming years.
IG Metall, which is very influential at Europe’s largest car manufacturer, emphasized on Wednesday: “It is clear that job cuts of 30,000 jobs are not an issue.” According to information from company circles, CEO Herbert Diess is said to have spoken about this number at the September meeting of the supervisory board. “Apart from that, that would be a frontal attack on the transformation of our industry.”
Another source reported that Diess presented a possible long-term scenario of what could happen if, for example, the supply crisis for electronic chips should persist or the scheduling of important future VW projects had to be reconsidered. In this context, he then aggressively broached the situation at the headquarters, to the surprise of the inspectors. The “Handelsblatt” had previously reported on it – and also described a new “scandal” between Diess and the overseers. According to other voices, there was initially no question of a dispute of this magnitude.
From the environment of the employee representatives it was reported that the top manager had obviously drawn a parallel with his thoughts to the high overcapacities in the 1990s. At that time, the switch to a four-day week made it possible to save a good 30,000 VW jobs. There is currently a completely different situation.
Even so, Europe’s largest car maker is under pressure. Volkswagen is currently idling considerably, especially in Wolfsburg. Short-time working for tens of thousands of employees had to be extended several times because – as with other providers – important semiconductors were missing. Regardless of these acute bottlenecks, parts of the workforce are concerned about sufficient plant occupancy in the coming period.
The works council has already called for at least one other electric model to be installed in the corporate headquarters in addition to the “Trinity” project planned for 2025/2026. It will also depend on whether other major projects such as the planned “Tesla Fighter” in Hanover or the expansion of the Group’s own software division Cariad will ignite.
In principle, employee representatives and company management have the same goal in many respects. More e-models with increasingly self-developed networking technology are to follow as soon as possible – also in view of the increasing competition from US rival Tesla with its new plant in Grünheide near Berlin. According to information from the dpa, there is no open power struggle like in mid-2020, when Diess had accused members of the supervisory board of criminal behavior after alleged indiscretions. The VW boss is said to have anticipated the expulsion only thanks to an internal apology.
Fresh decisions will soon be made at VW about the distribution of investments and models to the individual locations in the global production network, which will extend well into the current decade. “The difficult situation at the Wolfsburg plant is a clear focus of ongoing discussions for this year’s planning round,” said works council chief Daniela Cavallo recently.
It is also possible that key points will be named by mid-November where exactly the other battery cell plants that have been announced will be built. Lower Saxony and Saxony also see opportunities here; the works council had called for at least an additional cell factory in Germany.
The employee representatives did not want to comment on the content of the September supervisory board. She emphasized: “Regardless of this, the following applies: a reduction of 30,000 jobs – that would be one in four at Volkswagen AG – is absurd and has no basis.” Diess is known for the fact that he often brings up his thoughts in meetings spontaneously and – for the taste of the union side – provocatively. With the long-time works council boss Bernd Osterloh, who is meanwhile the head of personnel of the VW-Nutzfahrzeug-Holding Traton, he delivered several violent blows.
Osterloh’s successor, Cavallo, had stated that she preferred a calm tone. In the matter, however, she wants to fight just as hard for the interests of the workforce. Cavallo sits – like the representatives of the Porsche / Piëch families and Lower Saxony’s Prime Minister Stephan Weil (SPD) – on the Presidium of the Volkswagen Supervisory Board.
Diess just received a follow-up contract in the summer until autumn 2025. In the meantime, he has also presented a new corporate strategy. With the precise implementation of electrification and digitization, the ball is now in its field, according to owners.