Job security agreed for VW's battery subsidiary - Volkswagen secures job stability for PowerCo workers until 2030
Volkswagen has secured a new collective bargaining agreement for its battery division, PowerCo. The deal covers around 2,000 employees and guarantees job security until the end of 2030. It also includes a 5.5% rise in base wages for workers.
The agreement runs from March 1, 2026, to December 31, 2030. Wages can be renegotiated for the first time on March 31, 2027. Layoffs for operational reasons are banned during this period, ensuring stability for staff.
Volkswagen is currently building batteries for electric vehicles at a new plant in Salzgitter. Despite this investment, the company plans to cut 35,000 jobs in Germany by 2030 as part of its cost-saving push. The reductions will come through early retirement and part-time schemes, with no forced layoffs or plant closures.
The deal protects jobs at PowerCo while Volkswagen continues its shift toward electromobility. Employees will see higher wages and long-term security under the agreement. The company, however, still faces major workforce changes as it adapts to the electric vehicle market.
