BRAUNSCHWEIG (Germany) — Managers in Germany’s Volkswagen Group (VW) have once again failed in their attempts to secure bonus payments and salary increases through legal action, according to a ruling handed down on Monday by a labour court in Braunschweig, as reported by the German news agency (dpa).
The applications in two cases had been completely rejected, the court said. It had in mid-October thrown out 23 actions brought by former VW managers contesting the carmaker’s cutbacks.
The managers, who are not covered by collective bargaining agreements, are demanding payment of a second tranche of an inflation compensation bonus to the amount of €1,000 (US$1,060) as well as an increase of 3.3 per cent.
In the spring, VW decided to include management in its radical restructuring programme, resulting in the cessation of bonuses and salary increases.
The court ruled that pledges made by VW were not binding. This would have required written changes to their contracts. A VW statement from March this year was insufficient for this purpose, the court found.
The court made a single exception in awarding a bonus payment of €1,000 to a plaintiff based on a change to his contract. But it did not allow a pay increase to the manager concerned.
According to the court, almost all the plaintiffs were in early retirement, having ceased work at the company but still being shown on its salary lists.
Most of the plaintiffs in the cases to date have said they will appeal. According to a labour court spokesman, a further 70 cases are pending. — BERNAMA – dpa