Volkswagen forced to pause production of Golf cars

in #germany8 years ago

While the fallout from VW's emissions scandal continues, the German carmaker has now been hit by yet another problem.

A dispute with a supplier has led to production of the company's compact Golf model being halted for several days in the Wolfsburg headquarters, where 60,000 people are employed. An internal email explained that VW would not be manufacturing the Golf cars at least between August 20th and 29th, with a VW spokesperson confirming this, according to N-TV.

According to Die Welt, one of the suppliers in question is ES Automobilguss GmbH, which is embroiled in a legal dispute with VW and has stopped delivering the cast iron parts needed to make gearboxes. This has led to huge shortages and bottlenecks in the production process. Another supplier, which makes textiles for car seats, had also stopped delivering to VW, according to German media.

These conflicts have already led to workers being asked to work part-time or take compulsory holiday in several of the company's plants, as reported on Thursday. At a factory in Emden, 7,200 of the total 9,000 employees have started to work part-time due to missing parts, a measure planned to last until August 24th.

Further details: http://thelocal.de/119119
Author verification: http://thelocal.de/steemit

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