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Volkswagen of Mexico announces indefinite suspension of a production shift at its Puebla plant to adjust for global market conditions.

Volkswagen of Mexico announced on Friday that it will indefinitely suspend one of the three production shifts dedicated to the production of Tiguan and Jetta models at its Puebla plant. The German automaker described the move as a "difficult but necessary" measure taken to adjust production capacities in response to a challenging global and North American automotive industry context. While the company did not initially specify the exact number of workers affected, unofficial reports indicate that the workforce reduction could impact up to 1,350 employees. Specific figures vary by source, with some reports suggesting 800 employees with labor base status since August 2023 will be affected, while others estimate a total loss of 786 jobs, including 611 layoffs for those with less seniority and 175 voluntary retirements. This announcement comes during a contract negotiation process. The company proposed a global increase of 10.4 percent in salaries and benefits, which workers are currently reviewing. A vote on the company's proposal will take place on September 11.

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