Porsche workers at the German automaker’s largest factory will see lower pay increases over the next decade as part of a deal to build a new electric vehicle.
Reuters reports that 13,000 workers at the Zuffenhausen plant agreed to drop parts of scheduled pay increases between 2016 and 2025. Their workweek would also increase from 34 hours per week to 35.
Porsche, which is owned by the embattled Volkswagen, expects to spend $1.1 billion to produce the Mission E sports car at its largest plant, but wages at Zuffenhausen were reportedly higher than those at Porsche facilities in Leipzig and Osnabrueck.
“Employer and employees have jointly drawn up measures that have led to the decision of producing the Mission E model at Zuffenhausen,” a company spokesman told Reuters.
Employees at Zuffenhausen, like those at other VW facilities around the world, are represented by a works council.
The Mission E line is expected to create more than 1,000 jobs at the plant.
Filed Under: Aerospace + defense
