Volkswagen Schedules Five Days' Short-Time Working For Some Production Sections

WOLFSBURG, Germany – January 20 2009: Volkswagen has scheduled a period of short-time working in some sections of its German plants for week 9 (February 23 – 27). The arrangements affect approximately two-thirds of the 92,000 employees in Germany. The Research and Development department and some sectors of components production for example are not affected.

Jochen Schumm, Head of Human Resources Germany at Volkswagen AG, commented: “Volkswagen operates a highly flexible working system across the Group. We are now also making use of a five-day short-time working period. This temporary curb in production marks the continuation of our systematic and disciplined approach to bringing production capacity into line with demand.” There will be no short-time working in some departments. According to Schumm: “Under our Strategy 18plus, Volkswagen is focusing its efforts in particular on developments and investments to foster forward-looking technologies and products. That is why the Research and Development department, for example, is facing a demanding challenge at the present time.” This also applies to some of the component plants, such as engine manufacture in Chemnitz, where production of low-consumption engines continues in order to meet high demand from customers.

Bernd Osterloh, Chairman of the Group Works Council, emphasized that “the current market situation naturally impacts on our colleagues. Overtime accounts have already been largely run down. That is why the Works Council has approved the company’s application for short-time working. Our colleagues will not be put at a disadvantage because the company will be topping up short-time working benefit."

Work will resume with the night shift on Sunday, March 1 and continue on the regular three-shift basis.