VW CEO Praises Zwickau—Uncertainty Remains for Employees

VW CEO Oliver Blume praised the efforts of the employees in Zwickau to reduce costs at the site. “You have cut costs, improved processes, and moved forward with the agreed-upon workforce restructuring according to plan. In short: You’ve shown that change is possible,” he said, according to company statements, at the town hall meeting in Zwickau. “We can only keep telling everyone in the Group: Look to Saxony to see how well things have gone there.”

Nevertheless, the goal has not yet been reached. The goal is to ensure the Group’s long-term competitiveness. “Labor costs today are more than double those of comparable European sites. And when it comes to factory costs, other plants are still significantly cheaper,” Blume said in Zwickau. “This isn’t a criticism; it’s the reality against which we must measure ourselves.”

Blume: No Decision on Possible Plant Closures

According to reports, Blume reiterated that there is still “no competitive utilization plan for the 2030s” for the Emden, Hanover, Zwickau, and Neckarsulm sites. “But I also want to make it clear that no decision has been made regarding potential plant closures.”

If, despite all efforts, there is ultimately no viable use for them, Volkswagen will still bear responsibility. Blume: “We are fighting for industrial prospects and jobs at our sites. With partners. With investors. With new industrial solutions.”