Volkswagen strikes in Germany in 2027: labor talks, wage demands and affected plants
Volkswagen is ending several collective labor agreements in Germany from the end of 2026. IG Metall is seeking a 5% pay rise and warns of possible warning strikes from January 2027.
Volkswagen is taking its cost-cutting program to a new level. The group has already given notice that several collective labor agreements in Germany will be terminated as of December 31, 2026. According to Reuters, the review could also affect a framework agreement covering about 100,000 employees at Volkswagen’s main plants. The IG Metall union warns that the conflict could escalate sharply at the beginning of 2027.
This is part of a broader restructuring of the group. On September 3, Volkswagen’s Supervisory Board approved Future Plan 2030, which provides for an additional adjustment of around 50,000 positions across the group. The future of four German sites in Emden, Zwickau, Hanover and Neckarsulm also remains open. Volkswagen intends to define a competitive production structure for them by the end of June 2027.
The pressure is now extending to working conditions as well. However, the 2024 agreement that envisaged cutting around 35,000 jobs at Volkswagen AG and included employment guarantees is explicitly excluded from the current terminations. Employee representatives nevertheless fear that further cuts and production restructuring could put the previous commitments at risk.
At the same time, Volkswagen is entering its next collective bargaining round. IG Metall is demanding a 5% pay increase for 12 months as well as future guarantees for the plants. The peace obligation ends on January 1, 2027, after which warning strikes become possible if no compromise is reached.
For Volkswagen, the dispute comes at an awkward time. The group is trying to accelerate cost reductions and the restructuring of its European production network while facing stronger competition, including from Chinese manufacturers. If the negotiations turn into strikes, the financial restructuring will be joined by the risk of production disruptions at key German sites.