January 30, 2019 / 4:58 PM / 10 months ago

Audi's Hungarian workers end one-week strike: trade union

BUDAPEST (Reuters) - Audi workers in Hungary reached a deal on a wage increase on Wednesday, ending a strike that has paralyzed the carmaker’s plant in Gyor, western Hungary, since last Thursday, the AHFSZ trade union said on its Facebook page.

Audi spokeswoman Judit Mithay-Marko confirmed that a deal had been reached.

The strike of thousands of workers led to a halt in production at the German carmaker’s local unit which contributes an estimated 1.4 percent to Hungary’s gross domestic product.

The strike in Gyor also led to a shutdown at the home plant of Audi, member of the Volkswagen group, in Ingolstadt, Germany, due to a lack of vital components from Hungary just as engines.

Production will be gradually restored from Wednesday evening, Mithay-Marko told Reuters. She declined to immediately estimate the damage caused by strike to the company.

The deal includes an 18 percent, or minimum 75,000 forint ($271) per month, wage increase in 2019, the union said.

The Hungarian Audi unit’s $8.3 billion net revenue in 2017 was about 12 percent of Audi’s global intake, company data shows.

($1 = 276.5800 forints)

Reporting by Sandor Peto and Marton Dunai; Editing by Mark Potter and David Evans

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