Categories: Stock Market News

VW managers to get 10% pay reduce in plan to slash bonuses, German newspaper experiences


BERLIN (Reuters) – A discount in managers’ bonuses at Volkswagen (ETR:VOWG_p) will result in a ten% pay reduce for the following two years, the Sueddeutsche Zeitung newspaper reported on Sunday, after the German carmaker struck a take care of unions to axe jobs and reduce manufacturing.

The discount will apply to Might bonus funds, resulting in the ten% pay reduce in 2025 and 2026 for 4,000 managers, the newspaper stated. Within the following three years, their pay will fall by 8%, 6% and 5%, it added.

A spokesperson for Volkswagen declined to touch upon the report. Representatives of the IG Metall union and the corporate’s worker works council couldn’t instantly be reached for remark.

Volkswagen, Europe’s high carmaker, introduced sweeping modifications on Friday to its German operations, together with greater than 35,000 future job cuts and sharp capability reductions within the deal reached with unions after days of gruelling talks.

The settlement sought to avert mass strikes on the firm, whose troubles have highlighted a broader slowdown in German business.

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