Economy

VW has to stop golf production and send thousands on short-time work

For days, Volkswagen has been producing plenty of negative headlines: It’s all about the power struggle at the top of the world’s largest car manufacturer and the as yet unresolved question of whether CEO Herbert Diess will remain. There should be a decision on this in the next week.

Now comes the next bad news for VW: Golf production at the Wolfsburg parent plant has to be stopped – and that for almost a week. According to information from NewsABC.net, production in Manufacturing 1 is suspended from the night shift from Monday to Tuesday through the night shift from Sunday to Monday. VW cites a short-term production downtime at a German supplier due to corona infections in the workforce as the reason.

But according to NewsABC.net, there were other problems: There are additional bottlenecks in the supply of parts. And demand for the Golf bread-and-butter model is also expected to decline. The automaker is threatened with a loss of millions of euros in revenue. As a consequence, VW has to send thousands of line workers on short-time work.

But failures do not only occur in Golf production: employees in the areas of paint shop and car production, logistics, quality assurance, press shop, plastic parts production, tire assembly and administration could also be sent on short-time work. Internally, there is talk of the corona shock.

In order to minimize the effects, countermeasures and alternatives are being worked on, VW announced. The goal is the fastest possible production of cars that could not be produced in Wolfsburg due to the failure. The company management and the works council had agreed to report short-time work for the employees concerned. VW did not initially announce how many employees are involved.

According to internal employee information, Volkswagen is also extending the home office for all employees outside of production. The message states: “Employees who can work mobile and whose presence in the company is not absolutely necessary will initially work from home until 02/28/2021. So far, this regulation was valid until December 31, 2020. This precautionary measure will be maintained until it is foreseeable that the infection process will calm down again. ”

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