Volkswagen’s local management and its labour union have started discussions aimed at ending strike action over pay at the Puebla plant.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
The union is demanding a 3 percent raise for its workers, less than half its initial request, and a one-time bonus.
“We have already been flexible,” union leader Victor Cervantes told Reuters.
Reuters also reported that a deal has still not been reached as of Thursday evening, but that both sides would sit down for more talks on Friday (Aug 21).
Production at Puebla has been scaled back in recent months amid predictions that Mexico’s production will fall by 30% this year, largely because of falling demand in the US.
VW built 449,000 cars in Mexico last year.
