Currently reading: VW emissions scandal: 30,000 jobs to go at Volkswagen

Dieselgate cost-cutting continues; cuts will help fund electric vehicle push

Volkswagen is reported to be cutting 30,000 jobs in the next three years after striking a deal with its labour unions.

The cuts are the result of the growing cost of the Dieselgate emissions scandal, but they're also aimed at increasing VW’s focus on autonomous and electric cars, according to a report from Reuters.

New Volkswagen strategy to cull low-profit models and invest heavily in e-mobility

Some 23,000 of these job losses – which will come before 2020 - will be in VW’s native Germany. It hasn’t been made clear if these are widespread or concentrated within VW’s HQ at Wolfsburg. VW boss Matthias Mueller described the job cuts as "the biggest modernisation programme in the history of the group's core brand."

Read more: VW emissions scandal - one year on

The spread of the other 7000 redundancies has also not yet been confirmed, but they are expected to be in North and South America, given VW’s now diminished presence in North America and the recession currently happening in South America. The BBC reports that Volkswagen has said none of the redundancies will be compulsory.

The cuts make up around 5% of VW’s 610,000-strong employee base (nearer one fifth in Germany, where 120,000 work for VW), but Reuters also reports that 9000 new jobs are to be created around the brand’s renewed electric vehicle push.

The aim of the move is to raise VW's operating profit from 2% to 4%.

The job losses are expected to trim €3.7 billion (around £3.1bn) from VW’s yearly outgoings. Earlier this year, VW put aside £13.6bn to cover the cost of the emissions scandal. Some £9.62bn of that will go on compensation for US owners alone.

Volkswagen has been negotiating the deal with its unions since June and will announce the cuts today at a press conference. No job losses elsewhere in the Volkswagen Group have been announced.

Autocar is waiting for official response from Volkswagen.

Read more: British government could prosecute VW Group

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bowsersheepdog 20 November 2016

Still no admin

I complained on another thread a few days back that if Autocar didn't get rid of the scammers posts it would get worse. Already on here there is evidence of that. Somebody at Autocar must be reading through the forum. Sort it out before the place is totally overrun with the vermin.
Theojw71 19 November 2016

Nice to see...

...VW working hard to improve their public image. How can we show we aren't heartless, callous, money-driven machines with no thought for honour or decency? Hmmm, how about we sack thousands of individuals who didn't play a part in getting us in this mess in the first place? Shocking and shows that nobody has actually learned their lesson... yet.
Winston Churchill 19 November 2016

Theojw71 wrote:

Theojw71 wrote:

...VW working hard to improve their public image. How can we show we aren't heartless, callous, money-driven machines with no thought for honour or decency? Hmmm, how about we sack thousands of individuals who didn't play a part in getting us in this mess in the first place? Shocking and shows that nobody has actually learned their lesson... yet.

You are aware that VW isn't a charity, right?

Clarkey 18 November 2016

Lots of moaning about compensation

If Europe had a determined and diligent agency prepared to prosecute for any laws that were broken then there may be a case for compensation to owners. As it is, I can't see it happening.

Added to which, the whole thrust of VW's marketing campaign in the USA was 'Clean Diesel', appealing to the kind of environmentally-minded people who might otherwise buy a Prius. Many of them will feel defrauded about the primary reason they selected a TDI.

fadyady 19 November 2016

Cost of corruption

What you refer to as "lots of moaning for compensation" is not just about that. It is primarily a matter of breaking rules and using legal loopholes. It is about corporate greed and corruption. It is about deceiving buyers by misrepresenting your products and lying and using legal loopholes. It concerns corporate sleaze and using underhand methods to steal the march over competition. It is a rather complex matter and a very serious fraud. Otherwise Volkswagen won't give away $15 billion in the USA. Volkswagen is over compensating US buyers while treating European buyers with monumental indifference and contempt. I agree though that European and German authorities are also to blame for their timid and spineless stand that is if they have one.
Winston Churchill 19 November 2016

fadyady wrote:

fadyady wrote:

What you refer to as "lots of moaning for compensation" is not just about that. It is primarily a matter of breaking rules and using legal loopholes. It is about corporate greed and corruption. It is about deceiving buyers by misrepresenting your products and lying and using legal loopholes. It concerns corporate sleaze and using underhand methods to steal the march over competition. It is a rather complex matter and a very serious fraud. Otherwise Volkswagen won't give away $15 billion in the USA. Volkswagen is over compensating US buyers while treating European buyers with monumental indifference and contempt. I agree though that European and German authorities are also to blame for their timid and spineless stand that is if they have one.

Alun's whining again. I can't see that VW owners have actually suffered any loss. What do you want compensating for?

fadyady 19 November 2016

Winston Churchill wrote:

Winston Churchill wrote:
fadyady wrote:

What you refer to as "lots of moaning for compensation" is not just about that. It is primarily a matter of breaking rules and using legal loopholes. It is about corporate greed and corruption. It is about deceiving buyers by misrepresenting your products and lying and using legal loopholes. It concerns corporate sleaze and using underhand methods to steal the march over competition. It is a rather complex matter and a very serious fraud. Otherwise Volkswagen won't give away $15 billion in the USA. Volkswagen is over compensating US buyers while treating European buyers with monumental indifference and contempt. I agree though that European and German authorities are also to blame for their timid and spineless stand that is if they have one.

Alun's whining again. I can't see that VW owners have actually suffered any loss. What do you want compensating for?

It's quite complex and it's quite difficult to explain to someone who does not understand the first time.

Winston Churchill 19 November 2016

fadyady wrote:

fadyady wrote:
Winston Churchill wrote:
fadyady wrote:

What you refer to as "lots of moaning for compensation" is not just about that. It is primarily a matter of breaking rules and using legal loopholes. It is about corporate greed and corruption. It is about deceiving buyers by misrepresenting your products and lying and using legal loopholes. It concerns corporate sleaze and using underhand methods to steal the march over competition. It is a rather complex matter and a very serious fraud. Otherwise Volkswagen won't give away $15 billion in the USA. Volkswagen is over compensating US buyers while treating European buyers with monumental indifference and contempt. I agree though that European and German authorities are also to blame for their timid and spineless stand that is if they have one.

Alun's whining again. I can't see that VW owners have actually suffered any loss. What do you want compensating for?

It's quite complex and it's quite difficult to explain to someone who does not understand the first time.

Lol! If you're havung trouble explaining it, you aren't very likely to get compo.

fadyady 19 November 2016

I suggest spell check

There is a remarkable difference between holding an intellectual debate with an intelligent, educated person and chimp training. I feel no hesitation in admitting that I do struggle with the latter. Please do not take this personally. It's merely rhetorical. Instead of letting your adolescent thought process run wild to give another immature reply please educate yourself. You may begin by using spell check since "havung" is not yet a word in the English diction.
Winston Churchill 19 November 2016

fadyady wrote:

fadyady wrote:

There is a remarkable difference between holding an intellectual debate with an intelligent, educated person and chimp training. I feel no hesitation in admitting that I do struggle with the latter. Please do not take this personally. It's merely rhetorical. Instead of letting your adolescent thought process run wild to give another immature reply please educate yourself. You may begin by using spell check since "havung" is not yet a word in the English diction.

So you can't actually describe why anyone deserves compensation then?