VW’s Rebranding Effort Allegedly Included Policy to Purge Older Workers

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In response to a 2015 diesel emissions scandal, Volkswagen AG instituted a rebranding strategy. According to a 53-year old worker, Jonathan Manlove, the rebranding strategy allegedly included a policy to remove older employees from the company. The worker claiming age discrimination filed a collective action in Tennessee federal court.

Manlove claimed in the complaint that VW’s attempt to create a distraction from the diesel emissions scandal fallout or what has become known as the Dieselgate scandal with two different rebranding labor campaigns included clear discrimination violations. Particularly, the company planned to get rid of management positions that were filled by “older” employees. The plaintiff alleged that the new policy was in clear violation of U.S. age discrimination laws.

The rebranding strategies were implemented in 2016 with the twin policies: TRANSFORM 2025+ and Pact for the Future. They were implemented globally. According to American law, VW’s policy of purging older employees from their management ranks is illegal age discrimination.

The plaintiff stated in the complaint that VW’s own press releases on their new strategies made clear their intentions to eliminate older employees. The company openly stated that they would be using early retirements and “natural fluctuations” in order to reach their rebranding strategy goals to become “slimmer, leaner and younger.” 

Manlove filed suit on behalf of VW employees in the United States of America over the age of 50. Manlove worked as a VW assistant manager in logistics before he was demoted in June 2017. The demotion came only days after the VW announcement that the company would be creating a younger workforce at management levels.

VW advised Manlove he had one hear to find and obtain another assistant manager position at the company before the move would become a permanent demotion. Yet somehow Manlove’s positive performance reviews did nothing to keep him from being assigned to remain in the demoted position by VW Human Resources as well as being advised he was not allowed to apply for openings at the company.

According to the complaint, many others were affected. Since the announcement of the policy change, six employees under the age of 30 were promoted to assistant manager positions at the logistics department of VW at the Chattanooga, Tennessee manufacturing facility where Manlove was employed. At the same time, only two over 50 employees retained their assistant manager positions.

If you are experiencing age discrimination in the workplace, please get in touch with one of the experienced California employment law attorneys at Blumenthal Nordrehaug Bhowmik De Blouw LLP.