A labour court in Stuttgart will rule on Tuesday on the dispute between Porsche and Volkswagen works council.

According to Automobilwoche, works council leader Bernd Osterloh will argue that Porsche already effectively controls Volkswagen, and therefore VW workers should already be able to take part in negotiations regarding employee representation on the new Porsche Holding supervisory board.

At issue is the fact that the Porsche Holding supervisory board is constituted so that when Porsche takes a majority shareholding in Volkswagen, it will consist of three Porsche employee representatives, and three Volkswagen representatives. Volkswagen's works council is unhappy with this given that Porsche has just 12,000 workers and Volkswagen has around 324,000.

Porsche chief Wendelin Wiedeking and Porsche works council head Uwe Hück defend the current position, given that Porsche currently only owns 31% of Volkswagen.

The Porsche Holding co-management agreement was negotiated between Porsche management, headed by Wiedeking, the Porsche works council and the IG Metall trade union.

According to the German news agency dpa, Osterloh has threatened that, if the ruling of the labour court goes against the VW workers, he will take the issue to the national labour court and the European Court of Justice.