Volkswagen makes offer: higher pay, apprenticeships, discussions on future of work

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• Pay may increase by 2.2 percent

• Commitment to 1,400 apprenticeships per year

• Chief negotiator Rosik: “We must not lose sight of a competitive cost structure.”

During the second round of negotiations on the company’s collective agreement held today, Volkswagen submitted a comprehensive offer to the IG Metall trade union. The offer consists of three main elements: basic pay is to rise by

2.2 percent; the Group will commit to creating 1,400 apprenticeships per year in 2015 and 2016; a constructive dialogue with IG Metall on the future of work will already start in the first half of the year.

The leader of the Volkswagen negotiating committee, Martin Rosik, Head of Human Resources of the Volkswagen Passenger Car brand, said in Hanover: “Our company is committed to good, secure jobs in Germany. Our commitment includes an open dialogue concerning the future of work. This will contribute to Volkswagen’s ‘Future Tracks‘ program.” Rosik added: “In making this offer, we have taken into consideration the increasingly difficult overall economic situation in many markets. Volkswagen cannot escape from these uncertainties. At the same time, Volkswagen employees must not be placed in a worse position than those of our competitors.” He explained that a basic pay offer based on the current negotiations for a regional pay agreement was therefore an appropriate approach. The pay increase offered under the collective agreement of Volkswagen could apply until the end of February 2016.

Rosik said that apprenticeships were also an element in safeguarding the future and competitiveness. “We offer many young people a perspective and will continue to do so.”

A date for the continuation of negotiations is still to be set. The collective agreement of Volkswagen AG applies to about 115,000 employees at the Wolfsburg, Brunswick, Hanover, Salzgitter, Emden and Kassel plants as well as Volkswagen Financial Services AG.