Volkswagen Furloughs Workers in Tennessee
Volkswagen is furloughing around 1,500 assembly workers in Chattanooga, TN. Production is being idled on account of the coronavirus, making VW just one of many brands enacting a temporary shutdown. While the number of employees affected varies between reports, VW-Chattanooga spokeswoman Amanda Plecas said around 2,500 employees will be furloughed on April 11th. The downtime is expected to last roughly four weeks.
“Our primary objective is to protect the financial health of Volkswagen for the benefit of our team as we address the emerging and ongoing impacts of the COVID-19 outbreak on our industry,” Tom du Plessis, president and CEO of Volkswagen Chattanooga, said in a statement. “Right now we have limited visibility on when we will be able to resume production, but we are committed to doing everything we can to preserve jobs. During this time we will be intensely focused on preparing to reopen in a responsible way, ensuring our team has the opportunity to return to work safely and as quickly as practicable.”
According to the manufacturer, all furloughed employees will remain VW employees through the duration and will retain their original dates of hire and accrued paid time off. They’ll also be eligible for enhancement of unemployment benefits under the new CARES Act. That’s $600 per week in federal compensation via the $2 trillion stimulus package — plus any state benefits Tennessee has already established.
Most of the affected employees have already been unable to work due to the factory’s March 21st production stall. During that period they were entitled to full pay while a skeleton crew stayed on to sanitize the facility and prep it for when work resumes. Most of that effort was said to involve the installation of “sanitation areas” in high-traffic zones and some light maintenance while equipment is idle. Employees who can work remotely will continue doing so at their normal pay, but they will have to take a mandatory vacation day next week.
[Image: Volkswagen]
A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.
More by Matt Posky
Comments
Join the conversation
Tom advertises that he is protecting his paycheck. Thank-you, Tom. I will look at other manufacturers for a real deal.
just like American Lea & Perrins Worcestershire sauce that is decontented compared w/ the real thing (no malt vinegar, just cheap distilled white vinegar), American built VW's lack the German elan, the farfegnugen and it seems the Germans never learn from that error