- The steady stream of news from Wolfsburg continued this week as the world's largest automaker resets strategy around the ~$40B in extra costs, fines, and settlements seen tied to the emissions cheating scandal.
- Volkswagen (VLKAY), which has already cut $1.1B from its annual investment budget, may reduce the number of temporary workers it utilizes in order to offset costs.
- The German company also says it has an "unpredictable" outlook on sales and employment levels moving forward just as credit ratings agencies look for signs of stability.
- Earlier this week, German publication Daily Bild reported that Chancellor Angela Merkel's office may allow some displaced Volkswagen workers to be absorbed into a short-term government work program. That development shows the delicate tightrope Volkswagen walks when trying to downsize.
- Previously: Latest: German authority forces Volkswagen recall (Oct. 15)
- Previously: S&P cuts ratings on Volkswagen (Oct. 12)
- Previously: Volkswagen plugs in with new strategy (Oct. 13)