Volkswagen: Lower Saxony's Minister President Warns Against Plant Closures

Lower Saxony's Minister President Olaf Lies has cautioned Volkswagen's leadership against closing plants as the automaker implements cost-cutting measures. He stressed that each facility must be given its own prospects for the future.

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Every location must be given its own prospects.

Lies, a Social Democrat, stated that employees are currently experiencing significant uncertainty, and many families are worried about their futures. He visited the VW plant in Hannover, where he sensed "incredible uncertainty" among workers who had made substantial efforts to develop their sites in recent years. He emphasized the need to balance job security with the company's overall competitiveness.

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The employees are currently experiencing significant uncertainty and many families are worried about their future.

Responding to recent remarks by Volkswagen CEO Oliver Blume, who called the company "over-dimensioned," Lies argued that the automaker should view its size and broad product range as strengths. He suggested that plant closures are not a viable long-term solution. Instead, Lies proposed that the management should present concepts for better utilizing existing capacities through more attractive vehicles and "additions," even mentioning defense production as a possibility.

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Plant closures are not a solution for the future.

Lies believes that every plant possesses unique capabilities and strengths. He urged the VW board to develop strategies that enhance the utilization of current facilities, potentially through product diversification and innovation, rather than resorting to closures.

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over-dimensioned