Volkswagen Lays Off 3,000 at Brazil Plant
Volkswagen announced it was laying off 3,000 workers at one of its main Brazilian automobile factories, or 19% of the workers employed at the facility, after unions rejected a management proposal to save jobs by reducing hours and pay.
Volkswagen Brazil said 3,000 of the 16,000 workers at its Anchieta factory in Sao Paulo’s industrial hinterland would be laid off Monday.
VW employs about 28,000 people in Brazil.
The announcement comes two days after 14,000 VW metalworkers rejected a management proposal for 15% cuts in working hours and pay that the auto maker said was the best way to prevent massive layoffs as the economy slows in Latin America’s biggest market.
The company said negotiations were continuing to try and avoid a further 1,000 layoffs at another factory in Taubate.
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