MEXICO CITY (AP) -- Volkswagen says talks aimed at ending a three-day old strike at the firm's plant in Mexico are making progress, with the company sweetening its previous 1 percent wage raise offer to 1.5 percent starting in February.
The German carmaker says the union representing 9,400 workers at the plant in the central city of Puebla is demanding a 3 percent increase, an apparent retreat from initial demands of 8.25 percent.
The union was not immediately available to confirm the Thursday report. Volkswagen AG is also offering a one-time payment of 5,500 pesos ($425).
The only plant in the world turning out the company's trademark New Beetle went on strike Tuesday after negotiations on a new labor contract collapsed.