Volkswagen is currently undergoing an expansion valued at $900 million, at its’ Chattanooga VW Plant. This expansion will be the German car manufacturer’s largest recruitment push since 2012, with an estimated 510 jobs created in conjunction with VW’s forthcoming sports utility vehicle.
New team members will be hired by Aerotek, a VW contractor, for a minimum of half a year initially. Following this introductory period, they will qualify as fully fledged VW staff. To begin, staff will be dealing with components and sending them to the team that is building the midsize Passat sedan.
In Chattanooga, Gestamp (a Spanish auto firm) will increase its’ capacity three-fold, to facilitate the manufacture of Volkswagen’s CrossBlue midsize SUV. Gestamp announced that it will spend $180 million to set up a metal stamping factory and grow its’ existing Chattanooga plant. The CrossBlue is earmarked for production in 2016. Volkswagen’s goal is to enhance its’ brand presence in America, by introducing this new SUV.
According to Volkswagen, this joint venture with Gestamp in its’ Tennessee facility reduces transportation expenses, because most components are locally manufactured. Presently, Volkswagen utilizes press shops in numerous states to produce its’ Passat sedan. As the second biggest car manufacturer on the planet (based on worldwide sales), Volkswagen owns a wide range of brands, such as Porsche, Audi, Bugatti, Lamborghini and Bentley.
This recruitment drive reflects Volkswagen’s continued expansion in America. The firm has already begun recruiting the 130 technicians and engineers, who will work in its’ Chattanooga planning and engineering facility in 2017. Ultimately, the plan is to recruit a minimum of 200 technicians and engineers at the facility, where Volkswagen managers want to centralize their North American planning and engineering operations.
Officially, Volkswagen commenced work on its’ plant development in January, to make the factory bigger by over 500,000 sq ft. Subsequently, the firm chose to add a further 130,153 sq ft, to make its’ body shop bigger. This means that the plant is now set to expand roughly twenty-five percent more than originally planned.