Talks over VW chief's future 'on a knife edge'

Talks over the fate of Volkswagen chief Herbert Diess hang 'on a knife edge'.

That was according to Reuters sources on Wednesday (November 24).

Diess has been at loggerheads with the firm's powerful unions over his management style and plans for electrification.

Labor representatives were angered after he warned of big job cuts if the switch to EVs wasn't managed well.

Now the Reuters sources say talks on Tuesday (November 23) didn't produce any result.

And the uncertainty is weighing on VW.

Its shares are down 18% since May, compared with an 83% jump at Tesla - a company Diess often cites as demonstrating the need for radical change.

Now the sources say resolution of the dispute could depend on Diess agreeing to change his management style.

Any agreement is also expected to include new board members and details on job prospects for workers.