Volkswagen to furlough 1,500 workers at this auto plant starting April 11

  • Volkswagen said employees and production contractors at the plant have to date received full pay and benefits during the shutdown that began March 21.
File photo (AFP)
File photo

Volkswagen AG said Thursday it will furlough 1,500 workers at its U.S. assembly plant in Tennessee starting April 11 as the industry grapples with the ongoing coronavirus pandemic.

The German automaker said the temporary emergency furloughs for its production and maintenance workforce are expected to last no more than four weeks.

The automaker said its "primary objective is to protect the financial health of Volkswagen for the benefit of our team as we address the emerging and ongoing impacts of the Covid-19."

Also check these Vehicles

Find more Cars
Volkswagen Polo 2024 (HT Auto photo)
UPCOMING
Engine Icon999 cc FuelType IconPetrol
₹ 8 Lakhs
Alert Me When Launched
Volkswagen Tiguan 2025 (HT Auto photo)
UPCOMING
Engine Icon1984 cc FuelType IconPetrol
₹ 37 Lakhs
Alert Me When Launched
Volkswagen Taigun (HT Auto photo)
Engine Icon1498.0 cc FuelType IconPetrol
₹ 10.49 - 17.50 Lakhs
Compare
View Offers
Volkswagen Virtus (HT Auto photo)
Engine Icon999.0 cc FuelType IconPetrol
₹ 11.21 - 17.91 Lakh
Compare
View Offers
Volkswagen Tiguan (HT Auto photo)
Engine Icon1984.0 cc FuelType IconPetrol
₹ 32.79 Lakhs
Compare
View Offers
Volkswagen Id.7 (HT Auto photo)
UPCOMING
BatteryCapacity Icon77 kWh Range Icon621 Km
₹ 70 Lakhs
Alert Me When Launched

VW said employees and production contractors at the plant have to date received full pay and benefits during the shutdown that began March 21.

Automakers are facing a dramatic drop in sales in the United States, the world’s second-largest car market, after some states barred dealers from selling new cars while "stay-at-home" orders are in place. Fiat Chrysler Automobiles NV on Monday extended its shutdown of U.S. and Canadian plants until May 4.

On Tuesday, Honda Motor Co and Nissan Motor Co said they had furloughed thousands of workers at their U.S. operations.

A spokesman for Honda, which employs about 18,400 workers at plants in Alabama, Indiana and Ohio, said the Japanese automaker would guarantee salaries through Sunday, having suspended operations on March 23. The plants will be closed through May 1.

Nissan said it was temporarily laying off about 10,000 U.S. hourly workers effective April 6. It has suspended operations at its U.S. manufacturing facilities through late April due to the impact of the outbreak.

Toyota Motor Corp said this week it plans to reopen its North American auto plants on May 4, extending its current shutdown by two additional weeks. Toyota said it will stop paying salaries for 5,000 workers provided by outside agencies.

First Published Date: 10 Apr 2020, 08:15 AM IST
NEXT ARTICLE BEGINS

Check Latest Offers

Please provide your details to get Personalized Offers

Choose city
+91 | Choose city
Choose city

Want to get the best price for your existing car?

Powered by: Spinny Logo
By clicking "View Offers" you Agree to our Terms and Privacy Policy
Dear Name

Please verify your mobile number.

+91 | Choose city
Couldn't verify the OTP.
It's either expired or it's incorrect.