Angst in Wolfsburg: What will happen in Volkswagen's home city?
The Wolfsburg plant in North Germany is home to the Volkswagen headquarters, as well as more than 73,000 employees who are now fearing for their jobs.
Built in 1938, on Adolf Hitler鈥檚 orders to build a "peoples鈥� car," Wolfsburg today is home to 124,000 residents, half of whom work for Volkswagen. 鈥淭he whole region is by this company,鈥� Michael Wilkens, head of the local chamber of industry and commerce told Reuters. Thanks to VW, the city 120 miles west of Berlin boasts an unemployment rate lower than the national average, and, in 2013, it was named .
But now with Wolfsburg鈥檚 fate inexplicably tied to VW鈥檚 emissions cheating scandal, the city feels vulnerable.
鈥淭he residents are ,鈥� Carsten Steinbach, a Wolfsburg native told The Local Germany. 鈥淭here is also fear, because it鈥檚 our bread and butter.鈥�
Not only is the automaker a major employer, but the entire city acts as an ode to VW. , German for 鈥淐ar City,鈥� is a 16-building museum and visitor center that sprawls over 60 acres and attracts 2 million visitors a year. The also celebrates all things VW, offering guided tours on the evolution of the iconic Beetle.
鈥淭he town owes everything to VW, they have their hands in every project here but that will surely change. Life won鈥檛 be the same again,鈥� Frank Schellenberg, who relies on VW鈥檚 tourism industry to fund his profession as a local cab driver, told Reuters.聽
VW also sponsors Germany鈥檚 popular and acts as a namesake for local schools and colleges.聽
With past Porsche chief Matthias Mueller taking over as CEO for Martin Winterkorn this week, international attention has largely focused on the company鈥檚 internal management hierarchy as well as the dim future for diesel cars.聽
The mayor of Paris recently announced his plans to ban diesel engines in the city by 2020, and other European countries are rethinking diesel tax breaks. Europe鈥檚 response to VW鈥檚 diesel scandal could cause a chain-reaction in the auto industry because Europe is responsible for of diesel car sales worldwide.
Some experts distrusted VW鈥檚 promotion of 鈥榗lean diesel鈥� from the beginning, because . 鈥淵ou have power, you have energy, you have emissions: You get to choose two of them,鈥� Don Hillebrand, former president of the Society of Automotive Engineers, told LiveScience. Obviously, VW did not choose clean emissions.
But regardless of the science and management debates currently surrounding VW, the city of Wolfsburg feels betrayed. 鈥淓veryone in Wolfsburg is expecting tough times and job cuts,鈥� says Schellenberg. 聽
And the impact on VW鈥檚 hometown should not be ignored. 鈥淚f Volkswagen leaves or does badly, ,鈥� a Wolfsburg resident told The Local Germany.聽
