Hubertus Heil wants to extend short-time working benefits at VW

“Volkswagen can produce cars”

Heil wants to extend short-time working benefits at VW

It's about maintaining the VW locations and preventing redundancies, says the Labor Minister – and wants to “build bridges”.

Federal Labor Minister Hubertus Heil wants to defuse the crisis at the Volkswagen Group with the planned extension of short-time working benefits to a maximum of two years. “It’s about maintaining the VW locations, preventing redundancies for operational reasons and shouldering the necessary future investments,” said the SPD politician to the “Augsburger Allgemeine”. “Our task as a state is to accompany this solution with an active economic and industrial policy,” emphasized the minister.

“We will decide next Wednesday in the cabinet by ordinance to extend the short-time working rules,” said Heil, confirming the plans to double the benefit period to 24 months. It's about building bridges and securing employment.

Because of the company's difficult situation, Volkswagen is demanding a wage cut of ten percent and the cancellation of allowances. Management is also threatening redundancies and plant closures.

The SPD Minister Heil, who comes from Lower Saxony, was confident that he could avert this. “Volkswagen can produce cars that are successful in world markets, I have no doubt about that,” he told the newspaper. “What is important now are social partnership solutions between management and the union.”