Volkswagen workers in Brazil reach deal with union

Volkswagen workers in Brazil reach deal with union

Volkswagen's factory is seen in Sao Bernardo do Campo.

The local metalworkers' union said on Wednesday that an agreement allowing an investment of 1 billion reais $192.97 million will be reached by the SAO PAULO Reuters workers at its Taubate plant in the Brazilian state of Sao Paulo.

The plant, which produces the Gol and Voyage models, currently employs around 3,200 workers and is starting a new production cycle after the implementation of Volkswagen's MQB modular design strategy.

The Polo Track model, which will be introduced next year, will be the first car to be produced under the platform, according to the union.

Volkswagen did not respond to requests for comment on the matter. The terms of the agreement were not disclosed by the union.

Last week, workers at Volkswagen's main Brazilian plant in Great Sao Paulo's Sao Bernardo do Campo accepted a wage decrease and a reduction in working hours starting in July due to the lack of auto parts and electronic components.