Volkswagen boss could be replaced in restructuring

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Without citing its sources, Spiegel said Karlheinz Blessing, who was appointed management board member with responsibility for human resources on January 1, 2016, would be replaced by Gunnar Kilian, secretary general of VW's works council.

Volkswagen will hand labour leaders a management board seat as part of a broader pact to unlock structural reforms and win backing for Herbert Diess as new chief executive, sources said on Wednesday.

Chairman Hans Dieter Poetsch is in discussions with "certain members" of the firm's supervisory board and management board.

It is unclear how soon Diess, a former BMW executive who joined VW in July 2015 and has clashed with the company's labour leaders, would replace Mueller.

Shares in Volkswagen, which also owns the Bentley, Bugatti, Lamborghini, Skoda, Audi and Porsche brands, jumped on the news, and were up 4.3 percent at 171.24 euros at 1520 GMT.

Two people close to the carmaker said its supervisory board was due to meet on Friday, and would also discuss a possible stock market listing for the company's truck and bus division - another move aimed at creating a more focused business. Since admitting to the scandal, VW has paid out nearly €25 billion in fines, compensation, recalls and refits.

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VW said earlier Tuesday that it was considering a change in the CEO job.

The company said in its statement on Tuesday that it was considering changes to its complicated management structure.

Volkswagen is expected to make a final decision regarding the future of its top executive in Matthias Muller by the end of the week amidst the company's costly diesel emissions scandal.

While Mueller is a lifelong VW veteran, at times he cut an uneasy figure as CEO, which required him to manage the often contradictory demands of angry vehicle owners, disgruntled investors, well organized workers, and state officials with their own political agendas. A veteran of the company, he had previously served as head of Porsche.

Volkswagen's board abruptly ended the tenure of Chief Executive Officer Matthias Mueller, a caretaker who revived the carmaker after its worst crisis on record, turning instead to a leader who can implement deeper changes, people familiar with the matter said.

VW and the works council declined to comment.

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