Reuters first to report escalation of boardroom conflict at Volkswagen; market reacts

Reuters broke the news that a long-standing conflict between Volkswagen’s CEO and powerful labor representatives has reached a new climax. Reuters sources revealed that the supervisory board’s mediation committee would meet to discuss the future of CEO Herbert Diess as a result of a tussle over jobs and leadership style, laying bare the fragile balance of power at the world’s second-largest carmaker. The news comes amid fears that Diess’ ambition to overtake Tesla and turn Volkswagen into the world’s largest electric vehicle player could cost tens of thousands of jobs.