No layoffs, at least for now. Herbert Diess tries to calm the spirits after the indiscretion that saw the Volkswagen group ready to heavy cuts in staff, with over 30,000 layoffs to cope with the crisis that the Teutonic giant is facing as well as the other giants had emerged in recent days automotive. Wolfsburg CEO he tried to reassure the unions and the works council, arguing that no layoffs are planned, underlining that VW’s will is to find new strategies to be more competitive and not reduce work within the company.
For several weeks, Diess has been in a very uncomfortable position driving the Volkswagen Group. The Wolfsburg number one is facing an unprecedented crisis, not only for the causes directly linked to the pandemic and the shortage of semiconductors: the manager has ended up on the grill, with the works council of the German car group that has discouraged the CEO of VW, accused of mismanagement in this moment of tension for the sector. In recent months there had been discussions about an early renewal, with Diess looking for confidence to continue his transition plan towards electrification but in light of the latest events there are those who have already said goodbye between VW and the manager, with the full names for the successor that has already taken off.
The number one of the German giant, however, does not seem willing to give up right now and the intervention in videocall with the workers’ representatives it could be a detente aimed at seeking the confidence of the works council again. Diess has never hidden that he wants to compete in the world of electrification to become the number one automaker, putting Tesla in the crosshairs. According to the manager, the Wolfsburg production plant would be lagging behind in terms of efficiency and would need some adjustments, a position that worried the workers who thus decided to corner the manager. Trying to mend the relationship doesn’t seem like an easy thing.
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