Volkswagen to pay increased 4,100-euro bonus to German staff

[BERLIN] Volkswagen will increase bonus payments to its staff in Germany by over 40 per cent after the carmaker posted record profit and sales last year, a labour union publication showed.

The annual bonus for 2017 will be raised to 4,100 euros (S$6,680) per worker from 2,905 euros a year earlier, according to the publication seen by Reuters that will be distributed to staff on Thursday. The bonus will affect about 120,000 workers in Volkswagen's (VW) home market.

VW group profit nearly doubled in 2017 to 13.8 billion euros with sales up 6 per cent to a new record even as the carmaker shoulders a costly shift to electric and self-driving cars while grappling with the costs for its emissions scandal.

"Employees had a major share (in the fact) that the VW brand, despite all adversities, is in a much better position today," VW brand chief executive Herbert Diess was quoted as saying in the newsletter.

REUTERS