Volkswagen has announced the termination of a job security agreement that shielded workers from layoffs, citing the need for cost reductions to compete in a tough market. The move follows a warning that the company may close German factories due to declining sales and increased competition. The decision has stirred strong resistance from the union, with negotiations for a new wage deal looming. These developments reflect Volkswagen's struggle to maintain profitability in the face of market challenges and competition from electric vehicle manufacturers. The company's cost-saving efforts have far-reaching implications for its workforce and operations, with potential job losses and plant closures on the horizon.