Volkswagen workers staged two-hour strikes at nine German plants, protesting planned pay cuts and potential factory closures. The strikes included VW’s Wolfsburg headquarters, where whistles and shouts echoed as employees voiced their frustration.

Berlin correspondent Liv Stroud reported that “tens of thousands of VW workers joined warning strikes across Germany after talks with unions failed.” The company plans to close three plants, cut jobs, and reduce pay by 10%, citing rising costs, raw material shortages, and slow progress in electric vehicle development.

Volkswagen argues it must lower costs in Germany to match competitors and its plants in Eastern Europe and South America. Chief employee representative Daniela Cavallo countered, saying management failures, not workers, should bear the cost burden.

Escalation Likely If No Agreement Reached

Union IG Metall opposes the company’s proposed 10% pay cut for 120,000 workers and plant closures, calling for fair contributions from all parties, including management and shareholders. Cavallo warned, “The next round of talks will set the course—rapprochement or escalation. We are ready for both.”

IG Metall’s regional leader in Lower Saxony, Thorsten Gröger, declared the strikes could lead to one of Volkswagen’s toughest labor conflicts. Volkswagen brand head Thomas Schaefer highlighted falling European demand, noting the company built factories for a market of 16 million sales but now faces demand for 14 million. This translates to a loss of 500,000 cars annually.

The strikes began at a Zwickau plant in eastern Germany and will continue at plants in Braunschweig, Chemnitz, Dresden, Emden, Hanover, Kassel, and Salzgitter. IG Metall stated further strike actions would be announced later.

The next negotiations are scheduled for December 9, a critical moment to determine whether the conflict escalates or a resolution is reached.