Volkswagen's Cost-Cutting Talks: Union Battles and Future Uncertainty

Volkswagen and labor unions are locked in negotiations over cost-cutting measures with no agreement reached. The talks focus on job security and the future of German plants to prevent strikes. Progress has been made on wages, but plant closures remain a sticking point.

Negotiations between Volkswagen and labor unions have extended into Friday without reaching a consensus on crucial cost-cutting measures. Europe's leading automaker, embroiled in talks since Monday, aims to preempt strikes over contentious issues including job security and the fate of its German plants.

The negotiations come amid significant unrest, with about 100,000 workers having already participated in strikes. These labor actions mark the largest protests in Volkswagen's history, sparked by management's proposals to slash wages and possibly close German facilities, creating a backdrop of industrial tension.

Despite advancing discussions on wage issues, uncertainty looms over plant futures such as Osnabrueck and Dresden. Union leaders hold veto power over drastic measures, while the company grapples with demand shifts and global competition. Volkswagen declined to comment as talks inch forward.

(With inputs from agencies.)