VW workers agree to 28-month pay freeze

Germany’s biggest industrial union agreed to a 28-month pay freeze in a deal with car maker Volkswagen today, receiving in return a guarantee that there will be no layoffs before 2011.

“We were able to reach a fair balance between the aim of securing jobs on one side and the company’s interest in reducing costs,” said chief union negotiator Hartmut Meine after talks that lasted through the night.