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German chancellor calls on Volkswagen management to protect domestic jobs in restructuring plans

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A Golf GTI combustion engine by VW. Source: Volkswagen AG

Warnings by the works council at carmaker Volkswagen that the company plans to make significant cuts to its production sites and workforce in Germany have led policymakers to call for the protection of jobs and local economies. Chancellor Olaf Scholz said that workers at Europe’s largest car company should not suffer from possible management errors and that the focus should be put on securing jobs. However, other policymakers also suggested EU regulation on the industry under the Green Deal have contributed to the company’s woes.

The German chancellor has called upon the management of carmaker Volkswagen (VW) to tread carefully regarding plans cited by the company’s works council to shutter three domestic factories and reduce the workforce in its home country by tens of thousands of employees.

A spokesperson for Scholz said that the government leader’s position was that “possible management errors from the past must not be to the detriment of workers” at Germany’s largest carmaker, public broadcaster NDR reported. The focus should be put on saving jobs, Scholz’s spokesperson added. Members of Volkswagen’s management are expected to take part in an industry policy summit at Scholz’s chancellery on Tuesday (29 October).

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