Catherwood LibraryILR School

Volkswagen announced that changes in the global auto industry mean that the company cannot guarantee that it will not conduct layoffs in the near future. Volkswagen made a pledge in 1994 that the company would not lay off any employees in Germany, the home of Volkswagen, through 2029. Other cost-reducing measures are being implemented, and Volkwagen will seek other options to avoid having to lay off workers. European automotive manufacturers are facing increased competition from new competitors entering the market in Europe, and increased competition in the global electric vehicle industry from cheaper Chinese EVs. Volkswagen has suffered decreasing revenue in recent years, but unions and the German government have urged Volkswagen to continue to look for alternative methods to reduce costs.