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VW: Works council salaries too high? The court passes judgment in the infidelity process

2021-10-01T22:31:13.697Z


Between 2011 and 2016, VW works councils received generous salaries and bonuses. Was there any right thing to do with it? Now there is a verdict in the criminal case.


Between 2011 and 2016, VW works councils received generous salaries and bonuses.

Was there any right thing to do with it?

Now there is a verdict in the criminal case.

Braunschweig - In the infidelity process for the long-term approval of high salaries for senior works councils at Volkswagen *, the Braunschweig Regional Court acquitted the four accused personnel managers.

The competent chamber ruled on Tuesday that they could not prove any criminal behavior.

You did not follow the line of the public prosecutor's office, which had called for suspended sentences and monetary conditions for the executives in their plea.

The question was whether three former managers and one manager who is still in office between 2011 and 2016 released inappropriately high salaries for particularly influential members of the VW workforce representation (Ref .: 16 KLs 85/19).

From a legal point of view, the accusation was of breach of trust, sometimes in a particularly serious case.

Part of the profit was reduced by the excessive salaries, which means that VW also paid less taxes.

VW: Works councils influenced?

The prosecution put the damage to the largest European car manufacturer at more than five million euros.

Critics of the group also suspected that the management might have tried to secure the works council's discretion through financial donations before making difficult decisions.

Among the defendants were the ex-corporate personnel managers Horst Neumann and Karlheinz Blessing.

The prosecutor had argued that all four managers had acted in breach of duty and deliberately with regard to the remuneration of senior works councils.

All defense lawyers, however, had pleaded for acquittal.

VW: Unclear salary rules

The main negotiation also dealt with the remuneration of the long-time ex-head of the workforce representation, Bernd Osterloh.

In years with high bonuses he achieved total remuneration of up to three quarters of a million euros.

As a witness in the process, he had emphasized: "I was not involved in any payment determination that affects my person."

The main issue was whether there are any binding and sufficiently precise regulations for determining salaries for employee representatives.

It is always important to weigh up at which career level the respective person would be today if he or she had decided instead for a position in management.

In the opinion of some labor law experts, the current Works Constitution Act does not contain any clear guidelines on corresponding remuneration corridors or on which professional comparison groups are to be used when classifying a senior works council.

(dpa) * Merkur.de is part of IPPEN-MEDIA

Source: merkur

All news articles on 2021-10-01

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