08.07.2025

Internal Turbulence at Volkswagen: Gunnar Kilian’s Resignation as a Signal of Deep-Seated Conflicts

The recent events at Volkswagen, particularly the resignation of Personnel Chief Gunnar Kilian, cast light on the internal challenges of the company. Kilian left his position effective immediately, an incident that is interpreted as an expression of deep-seated differences within the company’s leadership.

A Power Struggle with Consequences

The power struggle at Volkswagen arises from fundamental differences over the future direction of the company. Works council chair Daniela Cavallo emphasized that particularly Kilian’s role in terminating the collective agreements last year is seen as a critical point. This decision was regarded by the works council as a “historical taboo breach” and has undermined trust on both sides.

A Critical Time for Volkswagen

Volkswagen is currently in a critical transitional phase. The planned restructuring program includes the reduction of almost a quarter of jobs in Germany by 2030, mainly relying on early retirement and voluntary severance packages. Kilian’s departure could affect the implementation of these plans.

Market Impact and Investor Opportunities

The uncertainty has not gone without impact on the stock market: after Kilian’s resignation, Volkswagen’s stock experienced a decline of over 1.6 percent. Nevertheless, analysts also see this as an opportunity for the company’s repositioning. Some experts predict a long-term growth potential of the stock of up to 50%.

While brand chief Thomas Schäfer has temporarily taken on Kilian’s responsibilities, the long-term stability of the company remains an important observation point for investors. Developments within Volkswagen could lead to far-reaching changes in the corporate structure and strategy.