By David Sachs

A German union will ask Volkswagen for a 7% rise in employee wages during negotiations later this year.

Industrial union IG Metall said Friday that the wage hike would benefit about 120,000 employees, with negotiations for a new collective-bargaining agreement scheduled for October.

The move comes as Volkswagen is in the midst of cost-cutting program, aiming to shed 10 billion euros ($10.70 billion) in costs from its namesake brand.

The company didn't immediately respond to a request for comment.

Write to David Sachs at

(END) Dow Jones Newswires

06-21-24 1041ET