Part 7/8:
In stark contrast, Volkswagen is experiencing significant turmoil. The company has recently concluded negotiations with IG Metall, Europe’s largest and most formidable union, failing to secure an agreement. Volkswagen's demand for a 10% salary reduction for its 120,000 German workers has sparked tensions as the automaker grapples with a staggering $240 billion in debt.
This precarious financial situation raises concerns about the sustainability of their operations, as VW struggles to remain competitive within the evolving automotive landscape. The contrasting dynamics between Volvo's successful strategies and Volkswagen's challenges will be closely watched in the coming years.