The union and VW negotiate almost the entire night until they reach an agreement: the 125,000 employees at the six VW plants, to which the so-called company tariff applies, receive 8.5 percent more wages and salaries. However, not all at once.

After intensive negotiations, Volkswagen and IG Metall have agreed on a collective bargaining agreement for around 125,000 employees at the six western German locations. Remuneration and training allowances will be increased by 5.2 percent from June 2023 and by a further 3.3 percent from May 2024. The term is 24 months, IG Metall announced in the morning. The in-house tariff is thus based on the pilot agreement achieved in Baden-Württemberg for the metal and electrical industry. VW confirmed the agreement.

The VW employees will also receive an inflation compensation bonus of EUR 3,000, which will be paid out in two stages in February 2023 (EUR 2,000) and in January 2024 (EUR 1,000). Trainees each receive half, as IG Metall further announced. In addition, VW-specific new regulations for partial retirement (ATZ), for the options for days off and for university fees apply.

Thorsten Gröger, IG Metall negotiator, said: “More than 4,000 employees increased the pressure on employers in the second negotiation.” VW got the curve again shortly before the end of the peace obligation. “I don’t want to hide the fact that the argument wasn’t easy – that alone shows the extremely long duration of the negotiations that night.” Chairman of the General Works Council Daniela Cavallo said: “In difficult times we have managed to come to a really solid conclusion. The colleagues will quickly receive noticeably more money.”

Arne Meiswinkel, Chief Negotiator at Volkswagen AG and Board Member for Human Resources at Volkswagen Passenger Cars, said: “We have reached an agreement within the peace obligation and are thus creating sustainable planning security and stability for both employees and the company.” The VW company tariff was negotiated for the core workforce at the Braunschweig, Emden, Hanover, Kassel, Salzgitter and Wolfsburg locations as well as some subsidiaries. The union had demanded a pay increase of eight percent for around 125,000 employees, an extension of the collective agreement on partial retirement, more days off for members of the union and the assumption of the semester fees for dual students at the company.