Volkswagen inks deal to compensate for violations in military regime

Volkswagen agreed to commit to earmarking $6.5 million to former workers and initiatives promoting human rights. The measure, which aims to compensate for facts that tookk place during the military dictatorship period (1964–1985) had the participation of the Prosecution Service of São Paulo State, and the Labor Prosecution Service.

A Conduct Adjustment Term was signed—an extrajudicial deal stipulating the duties the company must fulfill in order not to have further motions imposed. Thus, three civil inquiries open since 2015 on the matter are brought to a close.

Of the total amount, $3 million will be donated to the Henrich Plagge Association, which brings together Volkswagen workers, so that it may be distributed among former employees. Another $1.88 million will be put towards projects rescuing the memory of the period. To the Memorial for the Fight for Justice alone, $1 million was earmarked. The remaining $807 thousand will be sent to the Federal University of São Paulo (Unifesp) to finance new research studies.

The document also stipulates that the company publicize the efforts in major newspapers. The amounts under the deal are set to be paid in January 2021.