* Staff to discuss cost-cut plan on Tuesday
* VW says both sides committed to process of change
* Investors see plan as key to brand profitability
(Adds comment from VW, detail and background)
HAMBURG/BERLIN, Feb 20 Volkswagen's labour
bosses and top executives are making headway in talks to resolve
a dispute over the implementation of a turnaround plan, both
sides said, without elaborating.
Labour leaders at Volkswagen (VW) earlier this month halted
cooperation with management on issues including overtime work,
efficiency gains and apprenticeships and accused executives of
trying to squeeze greater savings than previously agreed.
But the works council on Monday said the talks have led to
early signs of how to overcome disagreement over how to
implement the 'future pact' designed to raise profit at VW's
core autos division, which accounts for almost half of revenue
at Europe's largest automotive group.
"Staff representatives are in constructive talks with top
management on the open questions regarding the future pact," a
spokesman for the works council said by email.
Workers at VW's main plant in Wolfsburg employing about
60,000 people can expect more information at a staff gathering
on Tuesday, he said, without being more specific.
A company spokesman confirmed both sides were in
constructive discussions as agreed under the future pact.
Unions last week said VW brand chief executive Herbert
Diess, who established a reputation for cutting costs at BMW
, sought to cut temporary workers more quickly and
deeply than agreed in November.
VW is having to trim high-cost operations in Germany to fund
a strategic shift and shed costs after its diesel emissions
scandal, which is costing it billions of dollars in settlements.
The 'future pact' targets 3.7 billion euros ($3.9 billion)
in annual savings by 2020 and foresees 30,000 job cuts at the VW
brand without forcing layoffs until 2025.
($1 = 0.9414 euros)
(Reporting by Jan Schwartz and Andreas Cremer; Editing by
Victoria Bryan/Ruth Pitchford)