VOW Volkswagen AG

By Cecilia Butini

Volkswagen AG said Tuesday that it has come to an agreement with trade union IG Metall on a package including a wage increase and bonus for about 120,000 of its employees.

The package, which is meant to give more certainty during the coronavirus pandemic, is expected to run until the end of November 2022. It includes a 2.3% wage increase starting from January 2022 and a 1,000-euro ($1,191) bonus which will be paid out retroactively for the period starting March 2020.

The company will also provide employees with an additional monthly pension payment of EUR150 and will continue 1,400 apprenticeships until 2025, it said.

The agreement is valid for employees at plants in Wolfsburg, Braunschweig, Hannover, Salzgitter, Emden, Kassel, as well as for Volkswagen Financial Services AG, the company said.

Write to Cecilia Butini at cecilia.butini@wsj.com

(END) Dow Jones Newswires

April 13, 2021 04:13 ET (08:13 GMT)

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