Manufacturing News

VW lays off 600 temps at Zwickau factory

Volkswagen will cut around 600 temporary staff at its Zwickau plant, following a cost-cutting drive as the company attempts to recover from the “defeat device” scandal.

Reuters reports that the fifth-largest of VW’s ten German factories employs around 8,800 and makes the Golf and Passat models. The car maker will also cease production of Phaetons, which have their body shell made at Zwickau.

There may be further cuts made today at the Dresden factory, which will soon hold a meeting of its 500 staff.

Volkswagen has plans to cut costs, including through restructuring and removing 1 billion euro next year from its investment plan, following the software cheating scandal affecting 11 million diesel vehicles worldwide.

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