EMCC European Monitoring Centre on Change

Volkswagen Nutzfahrzeuge

Company/Organisation:
Volkswagen Nutzfahrzeuge

Geographic Location

Country: Germany
Region: Hannover, Kreisfreie Stadt; Hannover; Niedersachsen
Location of affected unit(s): Hannover

Company

Sector: Manufacturing
Manufacture of transport equipment
29 - Manufacture of motor vehicles, trailers and semi-trailers
Number Employed: 15000
Group: Volkswagen

Employment Effects

Announcement Date: 21-06-2020
Planned Job Reductions min: 5000
Planned Job Reductions max: 5000
Type of Restructuring: Offshoring/Delocalisation
Employment Effect Start: 21-06-2020
Foreseen End Date: 21-06-2029
Other Job Reduction Measures: 5000

Additional Information

As announced on 21 June 2020, the van division of German carmaker Volkswagen (VW), Volkswagen Nutzfahrzeuge (VWN) plan to phase out 5,000 jobs at its Hannover plant until 2029 due to internal restructuring. Works council and management had already reached a company agreement in 2018 for guaranteed employment until 2029, thus VWN intends to reduce the number of jobs at its Hannover plant from 15,000 to 10,000 by natural fluctuation and part-time retirement programmes.

Lost jobs in production will be relocated to Poland due to cost-saving concerns, as it becomes increasingly impossible to manufacture a car under €20,000.