A compromise deal proposed by Porsche in order to avoid a new VW Law being imposed has been rejected.

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According to a report in Germany’s Focus news magazine, Porsche proposed giving workers special rights on the Volkswagen board. It said that decisions regarding transferring production or plant closures should have a two-thirds board majority. This would be instead of the State of Lower Saxony being able to veto decisions with its 20% voting rights.


The German government reportedly has agreed to pass the new law into legislation as soon as possible.


If the EU ruled this law illegal it would be prepared to buy a 5% stake in the company itself, to ensure Lower Saxony retained its power of veto.

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