Audi has dismissed forced redundancies in Germany prior to 2020, its labor employer stated, extending job guarantees by two years even as the Volkswagen-owned automaker grapples with the fallout from the automaker’s emissions scandal.
Volkswagen flagship luxury division reduced its projection for profitability and sales in late October after sustaining further costs associated with the group’s rigging of diesel emissions tests.
However Audi has stated on Monday its top management would attempt to negotiate a “thorough pact” with labor that could even extend job guarantees for its 61,000 German staff far into the next years in exchange for actions to enhance performance.
“The extension of work guarantees is a significant success,” stated works council chief Peter Mosch during a gathering of over 10,000 workers at Audi’s primary plant located in Ingolstadt. Management and the works council are going for a deal sometime next year.
The move comes 2 weeks after workers at Volkswagen’s core brand won assurances there would be no forced terminations in Germany for more years.
That deal cleared the way to decreasing 23,000 jobs at the Volkswagen brand in Germany through buyouts, early retirements and reducing part-time personnel.
Audi’s German employees have grown worried about their jobs since management decided in January to utilize a factory in Brussels to construct the brand’s very first mass-produced electric model and develop the site a key plant for electrical movement within the Volkswagen group.
Audi has likewise stated it will take a look at the possibility of cutting about 1,500 short-lived jobs at Ingolstadt as it prepares to meet 2017 output targets with its core labor force. Ingolstadt has employed 44,000 individuals.
The works council last month struck a contract with management to maintain pricey graveyard shift, although the deal involved some modifications to production.