EV job cuts 30,000 VW
I’ve seen a lot of headlines about how the transition to electric vehicles will cut jobs. I am less convinced than ever. THat and more in The morning shift for October 13, 2021.
1st gear: claim is’Absurd and unfounded ‘ According to Union
Again, we’ve seen many stories about how automakers building relatively simple electric vehicles as opposed to internal combustion engine vehicles will cost jobs. It makes sense! Gasoline cars have many small parts, such as pistons and valves. Somebody has to make these valves!
Somehow that never stayed with me, as you could just build simpler EVs as opposed to less complicated ICE cars, and it all came out in the wash.
A new announcement by the head of the currently most ambitious electrification project, Herbert Diess at VW, makes the whole thing even more confusing. According to Diess, VW will lose tens of thousands of jobs … if it doesn’t switch to electric vehicles fast enough. from Reuters:
Volkswagen CEO Herbert Diess said at a board meeting in September that the company could lose 30,000 jobs if it moves too slowly to electric vehicles (EVs), two sources familiar with the matter told Reuters on Wednesday.
The competition from newcomers to the German market such as Tesla has pushed the company to accelerate the transformation, Diess is said to have told the participants.
The US electric car manufacturer plans to produce 500,000 cars a year with 12,000 employees in Germany, while Volkswagen’s 25,000 at the Wolfsburg plant only produce 700,000 cars.
According to the union, don’t expect this to happen. According to Reuters:
A spokesman for the Volkswagen works council said there would be no comment on whether Diess had made the statements, but “a reduction of 30,000 jobs is absurd and unfounded”.
Another union spokesman from Lower Saxony, Volkswagen’s second largest shareholder, said such cuts were “out of the question”.
Electric vehicles have far fewer parts than an internal combustion engine and therefore require fewer workers to produce. According to one estimate, 100,000 jobs in the German automotive industry could be lost due to electrification by 2025.
I don’t particularly shop that making electric vehicles is easier or easier than making ICE cars, at least if the largest EV manufacturer in the world is everything you can imagine.
The Reuters article is headlined, “Volkswagen boss warns that switching to electric vehicles could cost 30,000 jobs.” Take it what you want.
2nd gear: A challenge for EVs: They build
As much as we can look forward to discussing the future of electric car manufacturing, the present electric car manufacturing is not so much concerned with workers as it is with raw materials. from Reuters:
“The real question is whether supply can keep pace with demand across the battery supply chain,” said Daniel Harrison, auto analyst at Ultima Media.
Until recently, Europe was seen as the battery race to the dominant Asian manufacturers like CATL. lost (300750.SZ) in China, South Korea’s LG Chem (051910.KS), and Japan’s Panasonic (6752.T), says Ilka von Dalwigk from EIT InnoEnergy, which has set up a company network funded by the European Union in the “European Battery Alliance”.
“Nobody saw that as a problem,” says von Dalwigk. “The idea was that we could import battery cells.”
I don’t know how much of this is currently a problem for EV automakers compared to their projections for the near future. Certainly is the current battery technology a bit stained.
3rd gear: Legislators: Please obey the laws
Did you know that if you are elected to public office as a legislator, you can make laws that regulate your country? You can set the course of the nation! Seems cool.
In related news, lawmakers are urging spokeswoman Nancy Pelosi to do some politics. Reuters reports:
More than 100 US House Representatives on Tuesday called on spokeswoman Nancy Pelosi to keep a $ 4,500 tax credit on union-built electric vehicles (EV) in a massive spending bill.
In a letter from Reuters, 107 Democrats called on Pelosi to keep the loan backed by the United Auto Workers (UAW), AFL-CIO and US automakers. The $ 4,500 loan would give Detroit’s three automakers General Motors Co. – give a significant boost (GM.N), Ford Motor Co (FN) and Chrysler dam Stellantis.
“We strongly support the equalization of the playing field between non-union and unionized workforces by adding the additional $ 4,500 incentive to support unionized electric vehicles,” said the letter, led by Representative Thomas Suozzi.
This union-friendly incentive was made Annoy Teslawhich is probably a good sign for everything in general.
Seems strange to have that option on the table and just … not.
4th gear: CarMax is very committed
With automakers struggling to build cars, CarMax had a very good time selling them. Both the new and used markets were booming and CarMax was busy. A good indication of this business is that it is hiring around 3,700 people since Automotive news reports:
CarMax, the largest used car dealer in the country, plans to fill 3,700 positions by the end of the year, the company announced on Tuesday.
CarMax said it plans to hire approximately 1,400 auto technicians and service workers, including Detailer and painter. Auto technicians are paid between $ 19 and $ 53 an hour, according to the company.
The company also plans to hire around 700 customer service advisors, assistants and managers to work directly with customers online and over the phone. The salary for consultants is $ 18 to $ 20 an hour. Some of these positions are suitable for working from home, CarMax said
Around 70 percent of these positions are used for processing Range Rovers 2006 bumper-to-bumper warranty.
5th gear: As a reminder: gasoline is almost twice as expensive in Japan
Japanese cars are so small and efficient! Why do Americans keep buying big, ugly trucks and not cool little hatchbacks like those people buy there?
Well, gasoline over there now costs about $ 5.30 a gallon since that Japan times reports:
The average retail gasoline price in Japan climbed to its highest level in seven years earlier this week, reflecting a recent global surge in crude oil prices, the Ministry of Economy, Trade and Industry said on Wednesday.
The average price for regular gasoline was 162.10 yen (1.4) per liter on Monday, rose by 2.10 yen from October 4 and, according to the ministry, reached the highest level since October 2014.
The surge is expected to deal a blow to household spending in Japan as there is speculation that domestic travel will increase through September 30 after the recent state of emergency of COVID-19
I don’t think today’s hulking pickups would immediately fade off the road if we did the gas tax increased.
Conversely, I looked up history today and it’s pretty much all plane crashes or hijackings
Neutral: How are you?
My bike’s rear brakes won’t stop squeaking no matter how hard I pull them in. I’ll try to clean the rim and try again, but God help me if I have to fix this wheel again. Rebuilding the drum brakes on my VW took less time than adjusting these cantis.