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Sunday, 27 September 2015

VOLKSWAGEN SCANDAL NOT YET FINISHED !


The Volkswagen (VW) scandal has rocked the Group, but only one person seems to have resigned : Martin Winterkorn, the Chief Executive of the Management Board of VW. 

What is surprising is that he resigned so quickly, after the VW group in the USA was accused of falsifying the results of the toxic emissions of its vehicules.  He pleads that he was not aware of "everything" that happened.  That is surprising and needs to be checked !  

The result appears to be catastrophic for the future of the VW Group not only in the USA but Worldwide.   However, the amount of Winterkorn's personal final pay-off, in accordance with the figures published in the Press, could be astronomic.

There are two obvious observations one must make in these circumstances. 

First and foremost, there must be many other  employees in the Group who were fully aware of what was going on and whose duty it was to report the facts and dangers to their superiors, not only in Germany and the USA, but in many different Group Companies all over the VW world.

These "responsible" people should also be "resigning", or be sacked, but will they also get astronomic pay-offs ?

Secondly, when an employee is guilty of "gross negligence" should he not forfeit all the promised additional payments due in his "Personal contract of services" ?  

Who  should authorise this final "Pay-off" to Martin Winterkorn, and when ?  Should it not be the Shareholders, but only after all the facts and costs of this catastrophy are known ?

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