VW labour head wants Plc structure for new VW-paper
FRANKFURT, May 9 (Reuters) - The merger between Volkswagen (VOWG.DE: Quote, Profile, Research) and Porsche (PSHG_p.DE: Quote, Profile, Research) should be structured through a public limited company that would then govern the new combination, the powerful works council head of VW said.
Bernd Osterloh said a public limited company will allow worker representatives to hold seats on the supervisory board, according to a pre-release on Saturday of his interview with Welt am Sonntag newspaper.
He said he believes the new merged entity should not be governed by any new holding company because "such a path" would be opposed by labour.
Volkswagen will lose the protection afforded by the so-called Volkswagen Law if it were ruled by a holding company, he added.
The European Commission contends the VW Law protects Volkswagen from takeovers.
Laden with debt, Porsche Automobil Holding SE has abandoned its original plan to seize control of Europe's largest automaker and instead agreed to explore a merger with VW. [ID:nL7614836]
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