Volkswagen's Mass Layoffs Have a Lesson Somewhere (in the 1960s)
"The German automaker has announced plans that include a 10% reduction in pay across the board for its workers, along with wage freezes in 2025 and 2026."
SO pretty much as expected (prior warnings aplenty) Volkswagen has announced cuts [1,2] and they go quite deep. As we've made some memes and articles about "modern" cars perhaps now is a good time to discuss the matter, not just blaming it all on "the economy".
In Daily Links we've included some stories about how so-called 'consumers' learned how to buy cars that last longer and don't cost a fortune (for all the toys inside them).
The world's leading automobile companies wrongly assumed people would buy whatever is mass-marketed and made available though the channels. They were wrong. Remember Windows Vista?
At one point Vista was compared to Ford Edsel. Quoting the magazine (Time): "As it turned out, the Edsel was a classic case of the wrong car for the wrong market at the wrong time. It was also a prime example of the limitations of market research, with its “depth interviews” and “motivational” mumbo-jumbo."
History is repeating itself. █
Related/contextual items from the news:
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Volkswagen plans major layoffs, to shut at least three German plants, works council head says
Volkswagen plans to shut at least three factories in Germany, lay off tens of thousands of staff and shrink its remaining plants in Europe's biggest economy as it plots a deeper-than-expected overhaul, the carmaker's works council head said.
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Volkswagen Plans Job Cuts And Plant Closures As Vehicle Sales Slump
Volkswagen (VLKAF) is considering widespread layoffs and plant closures in its native Germany as the company’s vehicle sales decline.
The German automaker has announced plans that include a 10% reduction in pay across the board for its workers, along with wage freezes in 2025 and 2026.
Volkswagen is also proposing to close three factories and downsize all other plants in Germany, resulting in an unspecified number of layoffs at the company.
Taken together, the proposed reductions are the biggest in Volkswagen’s home market of Germany in decades.