Audi Mexico, union reach agreement for salary increase

MEXICO CITY, (Reuters) – German carmaker Audi’s Mexico unit said on Friday it reached an agreement with union workers in the country for a salary increase of 7%, plus a 3.2% increase in benefits for 2024, after workers launched a strike in January.

Labor Minister Marath Bolanos said on social media platform X that workers would vote on the agreement with Audi, a unit of Volkswagen , on Sunday.

The agreement would resolve a workers strike that began Jan. 24 after, according to Audi, the union declined the carmakers’s offer for a 6.5% salary raise and asked for a 15.5% increase.

Last year, Audi and local workers union SITAUDI agreed to a 9.4% salary boost, one of the highest wage hikes in Mexico’s auto sector in recent years.

Reporting by Raul Cortes; Writing by Cassandra Garrison; Editing by Kylie Madry