FRANKFURT -- Volkswagen might move 1,000 to 5,000 jobs into a separate unit that pays lower wages if unions block a compromise in ongoing wage deals, German newspaper Bild reported Wednesday.
The jobs could be moved into the AutoVision job agency, which is owned by Volkswagen and its home town of Wolfsburg, Germany.
AutoVision on average pays its employees about 15 percent less than Volkswagen itself, Bild said, without citing a source.
Volkswagen also plans to tie 30 percent of its employees' wages to individual performance, its chief financial officer was quoted as saying in investor magazine Focus Money.
VW and its unions are in deadlock over the carmaker's plans to axe more than 30,000 workers in Germany and freeze pay for two years -- the company employs 176,544 workers in the country. The talks were suspended on Tuesday until Oct. 12.