Austerity is exacerbated: VW Builds thousands of jobs from? – N-tv.de NEWS

 Economy
 

 Thursday, 21 January 2016

 
 
 

 
 Volkswagen has big worry with its core brand. The Herbert Diess responsible for this will increase the efficiency significantly. According to one report, a massive job cuts is talking. VW denied.
 

 
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At Volkswagen, according to a report of “Manager Magazin” in the course of further stricter austerity “more than 10,000″ jobs at risk. The head of the core VW brand, Herbert Diess, demand already for the year or part thereof an increase in efficiency by ten percent.

It will therefore “never enough, the 7000 temporary workers no longer to deal with,” the paper reported, citing corporate sources further. There go also to firmly dealt VW employees. How many and what jobs would have to be actually deleted, suspended after the exhaust scandal also by the reaction of the buyers, it said.

VW responded with a clear disclaimer to the report. “We have this message back strictly. We are firmly committed to our core workforce”, said the carmaker with.

Diess had, however, already announced in October to try to reduce to a stringent austerity program, the fixed costs. He did not name a specific savings goal at the time. In mid-November, the manager had said. “I do not see any threat to the core workforce” He announced to provide temporary work to the test. In mid-December had the first in Saxony consequences: The contracts of 600 temporary workers at its Zwickau 2016 should expire in two stages. Alternatives for them in the group to be searched, such as Audi or Porsche.

profit margin of the core brand too low

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The core brand of the VW group since the announcement of the exhaust manipulation is not only under pressure: In 2014, Volkswagen’s operating margin in the mass market had shrunk from 2.9 to 2.5 percent for the umpteenth time. The profit margin was therefore far lower than about the margin of Volkswagen’s premium brand Audi and also fell compared to the industry from low.

VW had already made under the former Group CEO Martin Winterkorn, the margin of the core brand by 2018 6 percent to improve. The new CEO Matthias Müller support Diess’ austerity program, against this background, then reported the “Manager Magazin”.

  Source: n-tv.de
 

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