Volkswagen, German union IG Metall reach wage agreement

FRANKFURT - 21 February 2018: Carmaker Volkswagen (VOWG_p.DE) and labor union IG Metall reached a wage agreement for more than 120,000 workers in Germany in a fourth round of talks, the union said on Wednesday.

IG Metall did not provide details of the agreement but has called a news conference at 10 a.m. local time (0900 GMT).

The union had threatened earlier this month to cripple vehicle production at Volkswagen, incensed by an offer from management to raise pay for staff at western German plants by no more than 2.2 percent over 12 months, about a third of the 6 percent it was seeking.