For the Volkswagen Group, professional development and training are a key component in creating an outstanding team. A major part of our strategy includes systematically supporting and recognizing achievements and switching to remuneration systems that allow employees to share in the Company’s success in the long term. Universal and uniform criteria for developing skills and recognizing achievements have been in place at Volkswagen AG since 2010. This applies to the entire workforce – from trainees to senior executives. The criteria are underpinned by concrete incentive systems in the remuneration structure.

Volkswagen AG’s employees covered by collective pay agreements have a remuneration system that comprises three key elements:

  • the basic pay in the form of a monthly remuneration,
  • the right to a bonus arrangement anchored in the collective pay agreement,
  • since the beginning of 2011, the performance-based remuneration component, which recognizes all employees’ individual achievements.

Volkswagen AG’s remuneration system, which was expanded to include a performance-based remuneration component, has proven as a tool for the workforce to participate in the Company’s success. At the same time, it helps individual achievements to be recognized while maintaining competitiveness. This three-tier remuneration system is being increasingly implemented throughout the Group.

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