New power struggle between VW brand chief and council – Reuters Germany

Berlin the influential Volkswagen works council has thrown down the gauntlet right in diesel scandal Volkswagen boss Herbert Diess.

In a letter to the workforce Gesamtbetriebsrat boss Bernd Osterloh and six Chairwoman speak different VW sites from a “serious problem of trust” between the brand managers and employee representatives. They fear job cuts under Diess who wants to bring the main VW brand with austerity measures to scratch: “We have the impression that the diesel scandal from behind should be used to make personnel cuts, which until a few months, no subject was,” says in the letter, which was received on Thursday Reuters and other media. In the showdown with the works themselves Diess could rely on the support of the owner families Porsche and Piech said an insider.

stands after the manipulation of emission values ​​at most eleven million vehicles Group facing enormous costs – for product recalls, consultants’ fees and possible penalties. The austerity is therefore intensified. Around 3,000 jobs will be eliminated According to insiders in the administration, without notice. The councils now want to prevent worse. They call for a site agreement for all German plants with firm commitments for products, quantities and investments. In workshops, they are already working on its negotiating position. “Another way of commonality we do not see at this time because lack of full reliability of the brand manager.” Diess they criticize immature savings plans.

VW personnel chief Karlheinz Blessing tried to smooth things over. It welcomed the offer of negotiations for a long-term future pact. “The security of the sites is in the interests of the Board,” said Blessing and promised rapid and constructive discussions.

” HIGH LABOUR COSTS chimerical “

The conflict between council and Diess fermenting for some time. The 57-year-old manager had been recruited at the instigation of former supervisory board chief Ferdinand Piech from BMW to bring the already faltering main brand of the group on the ball. The Austrian has a reputation as a tough cost oppressor. In July, he moved to VW. That would Diess with his plans for savings and efficiencies in the works, which traditionally plays a strong role in the VW Group, irritate, it was clear from the outset. At first he tried to defuse the conflict and praised in an interview with the employee newspaper Osterlohs proposal to reduce the cost impulsive high number of models.

But did the truce is not long , Already in November accused Osterloh Diess and CEO Matthias Müller to announce austerity measures unilaterally and without basis. Diess reiterated in March its call for further savings by pointing to better developments in Seat, Skoda, Audi and Porsche. “The Volkswagen brand has hand still do a lot to be profitable in the coming years.” Now, the conflict comes to a head: According to the council, the Volkswagen brand is deliberately denigrated. “The supposedly high wage costs by the collective agreement at VW are a figment,” Osterloh wrote in the letter. The far-reaching co-determination was not responsible for the diesel scandal.

The owner Porsche and Piech families, which include 51 percent of the Wolfsburg Group, however, support the reforms at the VW brand. According to Wolfgang Porsche had expressed against the “Handelsblatt” in early March. Diess must rebuild the core brand and increase the margin. “VW will have to be slimmer in some places.” Even the Emirate of Qatar, with 17 percent of the voting third largest VW shareholder, had complained last year According to insiders, the constant criticism of the works on board. From second largest shareholder, the state of Lower Saxony, opinion was initially to get to the debate.