On May 28, Volkswagen AG has entered into an agreement with labor union IG Metall to resolve employees’ wages raise issue.
Under the terms of the agreement, Volkswagen will raise wages in two steps for 120,000 of its employees at sites in Wolfsburg, Braunschweig, Hanover, Salzgitter Emden and Kassel in Germany.
From Sep. 1, 2013, wages will increase by 3.4% and from July 1, 2014, by 2.2%. The agreement is valid for 20 months.
Originally, IG Metall had demanded a 5.5% pay increase for a 12-month period.
Source: Dow Jones
