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VW Steps Up Operations in Tennessee

New stamping plant partnership will add 500 jobs, simplify supply chain.

by on Jun.23, 2015

VW will build a version of its CrossBlue Concept when it completes the Chattanooga plant expansion.

Volkswagen continues to expand its operations in Tennessee, and with the German maker already set to double the size of its Chattanooga assembly plant it will also partner with supplier Gestamp to set up a new stamping plant near the assembly line.

The $180 million project will create another 500 jobs, improve basic logistics and allow the use of an advanced hot stamping process yielding ultra-high-strength steel panels that are lighter, more fuel-efficient and safer, according to Volkswagen.

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“The importance of this expanded partnership for Volkswagen and Chattanooga cannot be overstated,” said Christian Koch, President and CEO of Volkswagen Chattanooga. “We have put another crucial pillar into place for our future success and the benefits of this expansion will impact the community for years to come,” Koch added during a news conference in Chattanooga.


VW Adding Another 800 Jobs in Chattanooga

Maker struggling to meet booming demand.

by on Mar.22, 2012

Workers assemble a 2012 VW Passat at the maker's assembly plant in Chattanooga.

Volkswagen will create another 800 jobs at its new assembly plant in Chattanooga, Tennessee as it pushes to meet soaring demand. That comes on top of previous plans that will now bring a total of 1,000 new workers to the factory that opened only last year.

The Chattanooga plant is the first the German maker has operated in the U.S. in a quarter century and is a critical part of the maker’s commitment to boost sales to record levels by 2018.  But equally significant has been VW’s decision to develop cars specifically for the U.S. market for the first time, including the new Passat sedan being produced in Tennessee.

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Sales of the new Passat got off to a fast start for the 2012 model-year, helping Volkswagen score its best monthly volumes in four decades in February.

“This is a clear sign that the plant ramp-up has been successful and is a validation that the Passat is of the highest quality,” said Frank Fischer, CEO of the Chattanooga operation.


Domestics, Transplants Adding More Auto Jobs

Chrysler, VW, Honda responding to booming sales.

by on Feb.02, 2012

Chrysler will add another 1,000 U.S. workers to support production of the Dodge Dart.

The strong upturn in U.S. car sales will translate into a wave of new jobs for American auto workers.  Chrysler, Volkswagen and Honda all are announcing plans to expand production – meaning more workers – at plants across the country.

The biggest increase announced this week comes at Chrysler.  During a call to discuss the maker’s $183 million profit for 2011, CEO Sergio Marchionne revealed the maker will add another 1,000 workers at a plant in Belvidere, Illinois.  That will come in the form of a third shift to handle production of the new Dodge Dart sedan.

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Chrysler has added thousands of jobs in the last 12 months and is preparing to ramp up production – and employment at several other facilities, including about 1,600 workers who will man a third shift at the Jeep plant near downtown Detroit and another Motor City facility that will begin production of the newly-updated Dodge Viper sports car later this year.

But the domestic makers – Ford and General Motors also on a hiring binge – aren’t alone, a new study suggesting 100,000 U.S. auto jobs will be added this year and next.


Auto Industry on Hiring Binge

Domestics and imports both putting out “Help Wanted” signs.

by on Jul.07, 2011

VW has already hired 2,000 workers at its new Chattanooga plant and will add still more for a planned second shift.

It seemed like the best of times; following its takeover by the German Daimler AG, Chrysler counted nearly 71,000 hourly workers on its U.S. payroll.  But by the time the partnership collapsed and the maker was rapidly plunging into bankruptcy, in 2009, the blue collar workforce had slipped to just 21,000.

The situation wasn’t all that different across town.  As the industry sank into its worst recession since the Great Depression of the 1930s, and many analysts began to doubt whether Detroit’s Big Three makers would survive, the makers raced to close plants, abandon unpopular brands and slash employment.  Once employing close to a million hourly and salaried workers worldwide, General Motors emerged from its own run through Chapter 11 with a workforce barely a tenth that size.

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But two years later, there’s a very different situation.  Chrysler, for one, has boosted its blue collar headcount by more than 2,000 since hitting bottom in ’09, and several company sources tell that the maker is likely to keep rebuilding its factory rolls, especially if sales and share keep rebounding.  GM and Ford are also hiring.

And the “Help Wanted” signs aren’t just out in Detroit.  The new Volkswagen plant in Chattanooga, Tennessee has already hired 2,000 workers, while that number will grow by at least another thousand when the maker adds an anticipated second shift at the sprawling factory, which is producing an all-new version of the midsize Passat designed specifically for the American market.