Volkswagen and union agree 10.04% global pay raise, averting strike

Volkswagen and the Independent Union of the Automotive Industry have reached a collective bargaining agreement, ending the threat of a strike. The deal, facilitated by Mexico's Ministry of Labor and Social Welfare (STPS) and the Federal Center for Conciliation and Labor Registration (CFCRL), includes a 10.04% global increase in employee benefits.

Officials from the STPS and CFCRL lauded the agreement, stating it resulted from dialogue and conciliation. They recognized the willingness of workers, their union representatives, and the company to prioritize discussion. This approach, they noted, strengthens labor rights while ensuring the continuity of production activities.

The agreement must still be ratified by the union's members. The STPS emphasized that conciliation and collective bargaining are crucial tools for fostering fair labor relations, upholding workers' rights, and contributing to their well-being and that of their families. The ministry also highlighted Volkswagen de México's recent opening of a new, sustainable paint shop in Puebla.

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the disposition of the workers, their union representation, and the company to prioritize dialogue as the way to build agreements that strengthen labor rights and, at the same time, provide certainty for the continuity of productive activities.