Volkswagen is readying to unopen astatine slightest 3 factories successful Germany and laic disconnected tens of thousands of staff.
Its remaining plants successful Germany are besides acceptable to beryllium downsized, according to the caput of the company's works assembly Daniela Cavallo.
Europe's biggest carmaker has spent weeks negotiating with unions implicit its plans to revamp its concern and chopped costs, which person spiralled acknowledgment to labour and vigor prices.
VW employs astir 300,000 radical successful Germany and operates 10 plants, but has said a large restructuring is needed.
Ms Cavallo told employees astatine the carmaker's biggest works successful Wolfsburg that VW was "absolutely superior astir each this" and the proposals were not "sabre-rattling".
Threatening to chopped disconnected talks with the unions, she said: "This is the program of Germany's largest concern radical to commencement the sell-off successful its location state of Germany."
She did not specify which plants would beryllium affected oregon however galore employees could beryllium laid off.
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The carmaker is nether terrible unit from rising costs, beardown contention from Asia, weakening request successful Europe and China, and a slower-than-expected modulation to electrical vehicles.
It said it would enactment guardant proposals for however to chopped labour costs connected Wednesday, erstwhile workers and absorption conscionable for the 2nd circular of wage talks and the carmaker releases third-quarter results.
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The institution said it was committed to uncovering a solution with the unions.
Thomas Schaefer, who heads the Volkswagen marque division, said German factories were not productive capable and were 25-50% supra targeted costs - meaning immoderate sites were doubly arsenic costly compared with the competition.
Shares successful Volkswagen were down much than 1% aft the announcement, portion shares of Mercedes Benz besides fell.
Calls person been made for the authorities to measurement successful and assistance Germany's concern sector.
A authorities spokesperson said Berlin was alert of Volkswagen's difficulties and remained successful adjacent dialog with the institution and idiosyncratic representatives.