Daily Sabah logo

Politics
Diplomacy Legislation War On Terror EU Affairs Elections News Analysis
TÜRKİYE
Istanbul Education Investigations Minorities Expat Corner Diaspora
World
Mid-East Europe Americas Asia Pacific Africa Syrian Crisis Islamophobia
Business
Automotive Economy Energy Finance Tourism Tech Defense Transportation News Analysis
Lifestyle
Health Environment Travel Food Fashion Science Religion History Feature Expat Corner
Arts
Cinema Music Events Portrait Reviews Performing Arts
Sports
Football Basketball Motorsports Tennis
Opinion
Columns Op-Ed Reader's Corner Editorial
PHOTO GALLERY
JOBS ABOUT US RSS PRIVACY CONTACT US
© Turkuvaz Haberleşme ve Yayıncılık 2023

Daily Sabah logo

عربي
  • Politics
    • Diplomacy
    • Legislation
    • War On Terror
    • EU Affairs
    • Elections
    • News Analysis
  • TÜRKİYE
    • Istanbul
    • Education
    • Investigations
    • Minorities
    • Expat Corner
    • Diaspora
  • World
    • Mid-East
    • Europe
    • Americas
    • Asia Pacific
    • Africa
    • Syrian Crisis
    • Islamophobia
  • Business
    • Automotive
    • Economy
    • Energy
    • Finance
    • Tourism
    • Tech
    • Defense
    • Transportation
    • News Analysis
  • Lifestyle
    • Health
    • Environment
    • Travel
    • Food
    • Fashion
    • Science
    • Religion
    • History
    • Feature
    • Expat Corner
  • Arts
    • Cinema
    • Music
    • Events
    • Portrait
    • Reviews
    • Performing Arts
  • Sports
    • Football
    • Basketball
    • Motorsports
    • Tennis
  • Gallery
  • Opinion
    • Columns
    • Op-Ed
    • Reader's Corner
    • Editorial
  • TV
  • Business
  • Automotive
  • Economy
  • Energy
  • Finance
  • Tourism
  • Tech
  • Defense
  • Transportation
  • News Analysis

Diess to remain CEO as Volkswagen settles power struggle

by REUTERS

HAMBURG Dec 07, 2021 - 9:50 am GMT+3
Volkswagen CEO Herbert Diess looks on during his visit to Volkswagen's electric car plant in Zwickau, Germany, June 23, 2021. (Reuters Photo)
Volkswagen CEO Herbert Diess looks on during his visit to Volkswagen's electric car plant in Zwickau, Germany, June 23, 2021. (Reuters Photo)
by REUTERS Dec 07, 2021 9:50 am

The dispute between Volkswagen CEO and the German carmaker’s powerful works council seems to have been resolved, according to sources, with Herbert Diess most likely keeping his job – but with fewer powers.

Diess will likely stay on to lead Europe’s largest carmaker as part of a solution that will see him cede some responsibilities following a clash with labor leaders, two people familiar with the matter told Reuters.

The solution would potentially end the carmaker’s latest leadership tussle, which has caused uncertainty among investors and led the group's preferred shares to fall significantly in recent weeks.

After protracted negotiations led by Volkswagen Supervisory Board Chairperson Hans Dieter Poetsch, a way forward has been found under which 63-year-old Diess, who has led the company since April 2018, will likely keep his job, the sources said.

"It is going in the direction that the dispute will be settled and Diess will remain CEO," one of the people said.

VW brand chief Ralf Brandstaetter is slated to join the management board – confirming what sources told Reuters last month – while Diess will focus on strategy, the sources added.

Diess already ceded responsibility for the Volkswagen brand to Brandstaetter last year after weeks of squabbling between the company's powerful labor leaders and managers over the pace and scale of cost-cutting plans.

Handelsblatt had earlier reported that Volkswagen was close to a deal that could see Diess stay on. Shares extended gains after the news and closed 3% higher on the day as one of the biggest gainers in Germany's blue-chip index.

Diess's future has hung in the balance since he mentioned the risk of far-reaching job cuts in September, complicating the carmaker's efforts to draw up a five-year investment plan that will be discussed by the supervisory board on Thursday.

Diess struck an upbeat tone at a managers' meeting last week, stating that negotiations with unions were going well.

  • shortlink copied
  • RELATED TOPICS
    fight-against-terrorism DEUTSCHE-BANK US-LIBYA-RELATIONS
    KEYWORDS
    volkswagen management herbert diess
    The Daily Sabah Newsletter
    Keep up to date with what’s happening in Turkey, it’s region and the world.
    You can unsubscribe at any time. By signing up you are agreeing to our Terms of Use and Privacy Policy. This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
    A crude oil tanker sails in the Bosporus, on its way to the Mediterranean Sea, in Istanbul, Türkiye, Dec. 11, 2022. (Reuters Photo)

    Türkiye registers better-than-expected current account gap

    current-account-balance
     Eastern Anatolian Fault line triggered another fault segment called the Sürgü fault, Middle East Technical University (METU), Ankara, Feb. 9, 2023. (DHA Photo)

    Accumulated tension of hundreds of years moved Anatolia by 3m

    Harold-Tobin

    Istanbul's spectacular, historical grand bazaars and markets

    Travel

    Istanbul's consulate chronicles: Sudhi Choudhary, Consul General of India

    SUDHI-CHOUDHARY
    No Image
    Hundreds missing after deadly fire at Rohingya camp in Bangladesh
    PHOTOGALLERY
    • POLITICS
    • Diplomacy
    • Legislation
    • War On Terror
    • EU Affairs
    • News Analysis
    • TÜRKİYE
    • Istanbul
    • Education
    • Investigations
    • Minorities
    • Diaspora
    • World
    • Mid-East
    • Europe
    • Americas
    • Asia Pacific
    • Africa
    • Syrian Crisis
    • İslamophobia
    • Business
    • Automotive
    • Economy
    • Energy
    • Finance
    • Tourism
    • Tech
    • Defense
    • Transportation
    • News Analysis
    • Lifestyle
    • Health
    • Environment
    • Travel
    • Food
    • Fashion
    • Science
    • Religion
    • History
    • Feature
    • Expat Corner
    • Arts
    • Cinema
    • Music
    • Events
    • Portrait
    • Performing Arts
    • Reviews
    • Sports
    • Football
    • Basketball
    • Motorsports
    • Tennis
    • Opinion
    • Columns
    • Op-Ed
    • Reader's Corner
    • Editorial
    • Photo gallery
    • Jobs
    • privacy
    • about us
    • contact us
    • RSS
    © Turkuvaz Haberleşme ve Yayıncılık 2021