Mexico Volkswagen Workers Strike Over Pay

Aug. 18, 2009
Workers wanted 3% pay increase and management offered 1%

Some 9,000 workers at Volkswagen's Mexico plant, the German auto giant's only factory in North America, began strike action on August 18 after pay negotiations collapsed.

Workers at the plant in the central city of Puebla began the strike in the late morning after management refused to accept a 3% pay rise, having made an offer of 1%, union leaders said.

VW said that it had not been possible to reach a deal but stated its "willingness to continue with the negotiations."

Workers initially sought an 8.25% pay rise and a one-off bonus of 5,500 pesos (around US$ 420) before reducing their demand to three percent plus the bonus, said union leader Victor Cervantes. Workers carried out a five-day strike in 2006 after which they obtained a 5.5% pay increase.

Production and sales at the assembly plant, which exclusively produces four VW models for the world market, shrunk 37% in the first seven months of the year due to the crisis in the car industry, according to VW.

Copyright Agence France-Presse, 2009

Popular Sponsored Recommendations

Empowering the Modern Workforce: The Power of Connected Worker Technologies

March 1, 2024
Explore real-world strategies to boost worker safety, collaboration, training, and productivity in manufacturing. Emphasizing Industry 4.0, we'll discuss digitalization and automation...

3 Best Practices to Create a Product-Centric Competitive Advantage with PRO.FILE PLM

Jan. 25, 2024
Gain insight on best practices and strategies you need to accelerate engineering change management and reduce time to market. Register now for your opportunity to accelerate your...

Transformative Capabilities for XaaS Models in Manufacturing

Feb. 14, 2024
The manufacturing sector is undergoing a pivotal shift toward "servitization," or enhancing product offerings with services and embracing a subscription model. This transition...

Shifting Your Business from Products to Service-Based Business Models: Generating Predictable Revenues

Oct. 27, 2023
Executive summary on a recent IndustryWeek-hosted webinar sponsored by SAP

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!