Stock Market News

Volkswagen management to take pay cuts adding up to 300 mn euros – reports

2025.01.08 05:02

Volkswagen management to take pay cuts adding up to 300 mn euros - reports

Investing.com – Volkswagen’s (ETR:) management team is due to take pay cuts amounting to up to more than 300 million euros by 2030, German paper Braunschweiger Zeitung reported on Wednesday, citing comments by VW human resources board member Gunnar Kilian.

The carmaking giant’s board would opt to slash their salaries by a greater proportion compared to other management or staff members, the paper said. Kilian declined to provide more details.

In December, VW and its unions agreed to bring down the size of the company’s workforce by over 35,000 jobs — or roughly a quarter of total headcount — by 2030. Capacity at VW’s German manufacturing facilities would also be slashed by 734,000 units, although none of its plants would be shuttered.

Still, output at VW’s key Wolfsburg plant would be cut to two assembly lines from four, and the future of factories in the German cities of Osnabrueck and Dresden remained uncertain. The firm said it is exploring options for the Dresden site and considering repurposing the Osnabrueck factory.

Unions had called on leadership at VW to agree to pay cuts during the negotiations, saying they were at fault for VW’s recent issues. The collective wage agreement halted raises for workers over the next four years and scrapped or decreased some bonuses.

The moves are expected to help reduce expenses over the medium term by 15 billion euros per year, including 1.5 billion in labor costs.

Germany-listed shares in VW have shed more than 20% of their value over the past one-year period, as the group struggles with sluggish demand in Europe and low-cost domestic rivals in China, the world’s largest automotive market. The company has previously outlined plans to develop cut-price electric vehicles in a bid to address its Chinese competition, which has grown to even threaten VW’s market share in Europe.

Last May, VW warned that European automakers have between two to three years to build up its offerings to compete with their Chinese peers, or risk the survival of the sector.

(Reuters contributed reporting.)



Source link

Related Articles

Back to top button
bitcoin
Bitcoin (BTC) $ 82,855.20 1.23%
ethereum
Ethereum (ETH) $ 1,935.69 0.43%
tether
Tether (USDT) $ 1.00 0.01%
xrp
XRP (XRP) $ 2.29 1.89%
bnb
BNB (BNB) $ 627.13 1.11%
solana
Solana (SOL) $ 125.65 1.67%
usd-coin
USDC (USDC) $ 1.00 0.01%
cardano
Cardano (ADA) $ 0.705018 1.71%
dogecoin
Dogecoin (DOGE) $ 0.168503 2.60%
tron
TRON (TRX) $ 0.241098 8.90%
staked-ether
Lido Staked Ether (STETH) $ 1,934.80 0.50%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 82,672.15 1.24%
leo-token
LEO Token (LEO) $ 9.78 0.07%
chainlink
Chainlink (LINK) $ 13.96 0.64%
the-open-network
Toncoin (TON) $ 3.59 4.13%
usds
USDS (USDS) $ 1.00 0.00%
stellar
Stellar (XLM) $ 0.27526 1.25%
wrapped-steth
Wrapped stETH (WSTETH) $ 2,315.63 0.53%
hedera-hashgraph
Hedera (HBAR) $ 0.189784 0.44%
pi-network
Pi Network (PI) $ 1.16 13.00%
avalanche-2
Avalanche (AVAX) $ 19.08 1.05%
shiba-inu
Shiba Inu (SHIB) $ 0.000013 2.56%
sui
Sui (SUI) $ 2.29 3.60%
mantra-dao
MANTRA (OM) $ 7.03 0.27%
litecoin
Litecoin (LTC) $ 90.44 1.74%
polkadot
Polkadot (DOT) $ 4.49 3.04%
bitcoin-cash
Bitcoin Cash (BCH) $ 335.34 0.35%
bitget-token
Bitget Token (BGB) $ 4.61 3.62%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.01%
weth
WETH (WETH) $ 1,935.70 0.35%
binance-bridged-usdt-bnb-smart-chain
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 1.00 0.24%
hyperliquid
Hyperliquid (HYPE) $ 14.27 8.21%
whitebit
WhiteBIT Coin (WBT) $ 28.19 0.94%
wrapped-eeth
Wrapped eETH (WEETH) $ 2,056.96 0.51%
monero
Monero (XMR) $ 209.06 1.28%
uniswap
Uniswap (UNI) $ 6.40 1.44%
susds
sUSDS (SUSDS) $ 1.05 0.07%
aptos
Aptos (APT) $ 5.41 1.61%
okb
OKB (OKB) $ 53.74 5.24%
dai
Dai (DAI) $ 1.00 0.01%
near
NEAR Protocol (NEAR) $ 2.59 2.07%
pepe
Pepe (PEPE) $ 0.000007 1.21%
internet-computer
Internet Computer (ICP) $ 5.83 1.11%
mantle
Mantle (MNT) $ 0.814335 0.05%
gatechain-token
Gate (GT) $ 21.92 0.79%
ethereum-classic
Ethereum Classic (ETC) $ 17.77 0.22%
ondo-finance
Ondo (ONDO) $ 0.847338 1.62%
tokenize-xchange
Tokenize Xchange (TKX) $ 32.92 1.98%
aave
Aave (AAVE) $ 171.24 2.09%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 82,803.19 1.37%