Volkswagen`s Puebla plant, Mexico, is under threat of strike action by its labor union, say local media reports (3/8/00).

Demanding a 35 per cent wage increase alongside a 10 per cent increase in benefits, the union is also demanding a special clause in the worker`s contracts to establish a principle of `bilaterality` in labor relations, says the report.

Citing Independent Union of Volkswagen Automaker Workers Secretary General Jose Luis Rodriguez Salazar, local media says that the clause would provide workers the opportunity to participate in both quality and productivity evaluations, which form the basis for workers` productivity bonuses.