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Weird, the Bug I remember goofing with didn't do that.
Only the New Beetle.
*scratches head*

Always wanted ot get my hands on a Kubelwagon, or it's descendant The Thing.
(Or a newer Corrado.. Maybe a Kharman Ghia..)

Did get to play around with VW diesels a bit.
My first gas powered VW was an 89 Golf.
(Loved it, it drovefor 30,000 miles with a hole the size of a quarter in the differential.. No other car I've run into would do that.)

There were vinyl loops stuck between the side of the seat back and the body. Pulling on them released a latch and the back folded down. Most bugs I've seen had them tucked away out of sight and a lot of owners were totally unaware of being able to pivot the seat back down. My father had two bugs come and go before he discovered the feature. The cooler thing was with the pre-61 cars. The front seats pivoted at the base. Of course, if you're hobbled by a 40 horsepower motor and 6 volt electrics, there need to be some special features to keep you interested.

The way the floorboards practically melted away if you drove the machine on salted winter roads for any period of time was no thrilling thing. I've heard of people driving down the road and the next thing they know, the seat rails are skidding on the pavement and you're suddenly 7 inches shorter.