VW and Mexico Union Reach Wage Deal to Avert Strike

Volkswagen and its Mexican workers union reached an agreement on an 8.24 percent total increase, averting a threatened strike at the major Puebla manufacturing facility. The proposed labor contract will be put to a worker vote on October 29.

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Workers at Volkswagen's Mexico factory in Puebla, Mexico August 31, 2022. REUTERS/Imelda Medina

VOLKSWAGEN AG and its workers union in Mexico reached an early agreement late Wednesday, averting a strike scheduled for Thursday. The 12-month deal comes after union members previously rejected a two-year proposal. The resolution secures labor stability at a key North American manufacturing export base.

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