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Audi Hungaria strike has knock-on effect on German plant

As an announced week-long strike over pay continued at Audiʼs base in Győr (NW Hungary), the German carmaker was forced Monday to pause production at its headquarters in Ingolstadt, in southern Germany, Hungarian news agency MTI reported.

The production line at Audiʼs plant in Győr

The Audi Hungaria Independent Trade Union (AHFSZ) started a week-long strike over wages last Thursday, bringing production at the plant in Győr to a "practical halt."

On Monday, an Audi spokesman confirmed to Bavarian broadcaster Bayerischer Rundfunk that the strike has forced the company to pause production at its headquarters in Ingolstadt on Monday and Tuesday as Audi Hungaria has stopped delivering engines. Audi uses just-in-time production and its inventories are not large, the broadcaster noted. 

The trade union is demanding a wage increase of at least 18%, but no less than HUF 75,000 per month. It also wants the annual threshold for non-wage benefits raised from HUF 620,000 to HUF 787,000.   

Negotiations between the union and management continued on Saturday, union representative Tibor Szimacsek told MTI on Monday. Management made another offer - their seventh - which union leaders rejected because it "failed to reflect the seriousness of the situation," he added.

The union has asked the head of parent company Audi AG to take part personally in the talks with the aim of resolving the situation, Szimacsek noted.

Audi Hungariaʼs communications department said talks between union representatives and management would continue on Monday afternoon. Management has expressed hope that an agreement acceptable to both sides can be reached as soon as possible, the department added.

Audi Hungaria employs some 13,000 people at its base in Győr. AHFSZ counts about 9,000 of those workers among its members.