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Volkswagen CEO Dis sought to extend the contract as compensation, which was rejected by shareholders.

2024-09-17 Update From: AutoBeta autobeta NAV: AutoBeta > News >

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According to foreign media reports, Volkswagen CEO Disi, which had been mired in the "emission gate" incident, had been confirmed to have nothing to do with the incident and asked Volkswagen to compensate itself and extend its term of office, but it was refused.

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According to Deiss, it has been proved that he has nothing to do with Volkswagen's exhaust valve and will not be tried by justice, so it will not affect the public's reputation and image. To demand compensation from Volkswagen, Deiss also applied to the board of supervisors for an extension of the work contract until 2025. However, the application was approved by the supervisory board, even though the Porsche-branded Porsche family and the Piech family rejected Deiss's request.

Although Deiss was not involved in the emissions gate incident, it was also charged in September 2019 on suspicion of failing to inform financial markets in a timely manner in 2015. A spokesman for Volkswagen Group also confirmed to the media that the company had reached an agreement with the local court in Brunswick, Germany, that the court would stop hearing the charges involving the two executives. And agreed to pay 4.5 million euros for each of the two executives to settle the charges they face.

It has to be said that Volkswagen has been plagued by the problem of "emission gates" for many years. It was first investigated in the United States in 2015 by the Environmental Protection Agency that some diesel cars sold by Volkswagen were equipped with cheating software designed to deal with emission tests. It is still in dispute, involving Volkswagen's former CEO Wendeen and CEO Muller. According to relevant statistics, Volkswagen Group has paid a total fine of more than 30 billion euros (233.493 billion yuan) for the "emission gate" incident.

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For Deiss, as a "paratrooper", it seems that Volkswagen has not exceeded expectations in the past two years. On April 12, 2018, after hours of long meetings, Volkswagen quickly announced a change in CEO, appointing Herbert Diess as CEO of the Volkswagen Group, effective immediately. Perhaps the reason for choosing Deiss is that Dis previously worked in Bosch, BMW and other companies, and has too much to do with the Volkswagen Group's "emission gate" incident, so it is fortunate to be selected as the new Volkswagen CEO. It is worth noting that Deiss was also a popular candidate for BMW CEO.

According to the usual five-year tenure of Volkswagen's CEO, Deiss will be able to step down around 2023. However, since taking office, it has directly put forward Volkswagen's 10-year plan to promote the transformation of Volkswagen Group in the "new four modernizations" and to share the high R & D costs by huddling with competitors to keep warm. After all, betting on electric cars is a costly plan.

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However, the new plan for Deiss does not seem to have allowed Volkswagen to develop smoothly in electrification, and it has also led to growing criticism of Deiss within the Volkswagen Group. In addition to its first compact electric car, ID.3, which encountered large-scale software problems in the production process, the cost control of the "emission gate" incident in the past two years is not excellent, leading to the expansion of the loss of the "emission gate". Porsche executives are still under investigation.

Although Volkswagen achieved a 22 per cent increase in full-year operating profit last year to 16.9 billion euros, Deiss will still be worried about the performance of such figures, such as in Deiss's most valued Chinese market. Last year, although the growth of 0.6 per cent was against the trend, the profit of the joint venture fell from 4.6 billion euros to 4.4 billion euros, indicating that profits are shrinking.

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Even if Volkswagen became the world's highest car company in terms of sales last year, with a certain increase in profits, all this does not seem to be a good performance in the eyes of Volkswagen shareholders. There are even reports that Volkswagen unions submitted a list of issues to Deiss in February and criticized Volkswagen's board of directors for poor management. Of course, in the current global market downturn environment, it is not easy to enable the company to achieve growth.

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