Volkswagen Hands Out a €7,200 Bonus to German Employees

Good news for Volkswagen’s German workforce as Europe’s largest carmaker is sharing some of the record profits the company delivered in 2012 with its employees. VW said on Wednesday that it will pay German workers a bonus of €7,200 or a little over US$9,400 at the current exchange rates for 2012, which is about 4 percent less than what the company handed out in 2011 (€7,500), despite the fact that its preliminary net profit rose to €21.72 billion in 2012 from €15.41 billion the previous year. The bonus was given to around 100,000 VW employees in Germany. “Profit sharing is hard earned and deserved; it is the equitable participation of employees in the success,” said VW board member Horst Neumann. “The Volkswagen team has done an excellent job in 2012, and this team effort pays off for everyone.” Neumann, however, also warned that the situation in Southern Europe may affect the company’s future growth and profits. “The road is bumpy,” he said. “The consequences of the financial crisis in southern Europe have not been overcome.”