SAO PAULO, Brazil, Sept 17 (Reuters) - Workers at the Brazilian unit of Volkswagen AG rejected on Wednesday proposals by the German car maker to reduce its Brazilian work force by nearly 4,000 through voluntary layoffs or retraining.
At two plants, auto workers agreed to enter a state of alert that could lead to a strike.
The metal workers' union voted to demand that Volkswagen extend job security until 2009 rather than adhere to the car makers' plan to shed roughly 16 percent of its total work force in Brazil. Previously they had asked for job security until 2006.
The decision came after Volkswagen decided earlier this year it would shed jobs to ensure its work force was realigned to Brazil's staggering car market, which saw sales fall 10 percent in the first eight months of this year.
Volkswagen and the unions entered into negotiations about three weeks ago.
Earlier this week Volkswagen offered a voluntary layoff program to auto workers here as an alternative to a previous plan to transfer nearly 4,000 employees to a company for retraining and help them find other jobs.
The number of workers who take the voluntary layoff offer would go toward the total 4,000 reduction in the work force that Volkswagen is aiming for.