Reported 28 days ago
Volkswagen AG reported its lowest profit in years, prompting the first factory closures in Germany in its history. With a 42% drop in operating profit and a dwindling margin of 3.6%, the automaker faces pushback from unions as it seeks to close three factories and cut wages by 10% for around 140,000 employees. The pricing challenges pose risks for the company amid increasing competition and slumping sales in China and Europe, making it imperative for VW to achieve significant cost savings to remain competitive.
Source: YAHOO