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Volkswagen Pauses EV Production in Saxony for One Week as State–Labor Dispute Deepens

VW’s insistence that current agreements suffice collides with Saxony’s push for fresh job guarantees.

Overview

  • VW halted assembly in Zwickau and Dresden on October 6 for one week citing weak demand for electric vehicles, while Wolfsburg adds shifts on combustion models.
  • Saxony’s leader Michael Kretschmer sought a 250,000‑vehicle annual minimum in Zwickau, safeguards for 2,000 Chemnitz jobs, a recycling center and €100 million for TU Dresden, but VW said volumes and employment are already agreed and offered €1.5 million over seven years instead.
  • At Dresden’s Gläserne Manufaktur, VW cites a perspective for 135 employees with roughly 70 still without a solution, and ID.3 production there is slated to end by year’s end.
  • IG Metall’s regional leadership says it will pursue a renegotiation of the Zwickau agreement to protect employment at the site.
  • Saxony approved €549,000 to develop a “Masterplan Südwestsachsen,” and VW’s Executive Board is scheduled to meet on October 9 to discuss next steps.