CHATTANOOGA, Tenn. (AP) -- Volkswagen is dropping the third assembly shift at its Chattanooga plant.
As first reported by WRCB-TV, the move will eliminate 500 temporary jobs.
Volkswagen spokesman Guenther Scherelis said strong domestic demand for the Passat drove adding the third shift.
The company said the plant opened by creating a new product with new suppliers and a new workforce and extra workers were brought on through a staffing supplier temporarily. Volkswagen said increased efficiency is allowing the plant to return to two daily shifts in what the company calls a workforce adjustment.
The company said no positions involving the Volkswagen workforce are affected by the change, which takes effect May 13.