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Volkswagen and Toyota plants halted in Brazil.

The Paraná factory of the German automaker is facing the longest strike in its history; the Japanese company has no parts for its cars.

Two major automakers operating in Brazil have halted their activities for various reasons. The 3,1 metalworkers at the Volkswagen plant in São José dos Pinhais, in the metropolitan region of Curitiba, have now completed 22 days of strike action, surpassing the 21 days recorded in September 2009 during the longest strike in the automotive sector in Paraná at that time. Toyota is suffering from a shortage of imported parts from Japan needed to assemble its cars.

Volkswagen workers are demanding R$12 in Profit Sharing (PLR), of which R$6 should be paid immediately. The company offered R$4,6 as the first installment, leaving the second to be discussed during the year. Tomorrow morning, the metalworkers will meet again in an assembly to decide the course of the movement. The expectation is that they will continue their strike. "From the beginning, the workers have shown themselves prepared to seek the best agreement, and this stance of the company in not wanting to advance in negotiations only makes the category even stronger," said the president of the Metalworkers Union of Greater Curitiba (SMC), Sérgio Butka.

According to the union, the company had failed to manufacture 12.960 vehicles to date, meaning that approximately R$ 453 million in revenue was lost, considering an average price of R$ 35 per car. The plant manufactures the Fox, CrossFox, Fox Europa, and Golf models. Some parts suppliers to the factory are already feeling the effects of the strike, with reduced product volume and workers being granted vacation time.

Volkswagen has filed a labor dispute request with the Regional Labor Court (TRT). The process is still under review and may be included on the agenda of the special body's session dealing with labor disputes, to be held on June 6th. According to the union, some employees received their salaries for the first half of May with deductions for the days they were on strike. Therefore, the union has made the strike fund available to employees who wish to use it.