Volkswagen's Chattanooga workers win 14% wage boost
The United Auto Workers union has represented American Volkswagen employees since April 2024. It took only a few months for them to secure their first victory: a 14% wage increase for employees at the Chattanooga plant.
According to "Reuters," Volkswagen has agreed to a 14% wage rise for the unionised workers at the Chattanooga factory in Tennessee. The raises will be staggered over four years. Employees can also expect profit sharing and improved health benefits.
Volkswagen's plants are the first automotive factories since the 1940s when elections established unions. Encouraged by the successes of United Auto Workers president Shawn Fain, workers decided to join the union. In 2023, Fain initiated strikes against Ford, GM, and Stellantis in Detroit, resulting in an average 25% wage increase.
Meanwhile, the situation in Germany is gradually escalating. Union members from IG Metall are striking not to demand raises but to oppose cuts and potential layoffs in Volkswagen's European factories. Thus far, they have not been successful.
