Handelsblatt48 minutes agoBusiness1 min readGermany

Volkswagen terminates collective agreements and increases pressure on employees - BMW and Mercedes follow

Quick Look

Volkswagen has terminated around a dozen collective agreements, including the general collective agreement, in order to enforce longer working hours with the same wages.
BMW and Mercedes are also increasing the pressure on employees.
The measure is intended to strengthen the competitiveness of car manufacturers in the crisis, while at the same time there is talk about care and pension reform in Germany.

AI-generated summary

Why It Matters

The automotive industry is in a deep crisis due to weak demand, high energy costs and structural challenges. Companies are now also intervening in working conditions in order to remain competitive.

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Volkswagen is terminating collective agreements and relying on longer working hours, and BMW and Mercedes are also increasing the pressure on employees. Can this save the car manufacturers?

The crisis in the automotive industry is now finally reaching employees. Volkswagen has terminated around a dozen collective agreements, including the important collective agreement. The goal: more work for the same pay. But can a longer working week save the company? Handelsblatt car reporter Lazar Backovic classifies.

Also: Economist Monika Schnitzer and Handelsblatt editor-in-chief Sebastian Matthes talk about the care and pension reform in Germany and what a smart strategy could look like to make the German economy competitive.

Here is the link to the whole conversation: https://www.handelsblatt.com/journismus_live/sebastian-matthes-und-monika-schnitzer-leben-wir-die-kritik-falsch-erklaert/100253855.html?utm_medium=au&utm_source=div&utm_campaign=standard-pc&utm_content=pc-today

The exclusive subscription offer for all listeners of Handelsblatt Today: https://www.handelsblatt.com/mehrfinanzen

Published according to the editorial standards of the Handelsblatt. You can find more information in our guidelines.

What to Watch

AI outlook — possibilities, not facts

The unions will resist the termination of collective agreements and call for negotiations or strikes.
Likely · Within weeks
The discussion about care and pension reform will become more intense in the coming weeks, particularly in connection with the competitiveness of the German economy.
Possible · Within months

Open Questions

How will employees react to the termination of collective agreements?
Will working longer hours actually lead to higher productivity?
What specific changes do the care and pension reform provide for?