Volkswagen to cut 100,000 jobs around world and | Tech News
Volkswagen is planning to cut up to 100,000 jobs and shut 4 plants within the greatest overhaul in its historical past. The carmaker, the world’s second-largest, is aiming to slash investment by around 15% because it faces continued strain from Chinese electric-vehicle producers.
It has been revealed that Volkswagen is set to restructure, together with slashing investment by over £112 billion within the subsequent half decade. The plans are pushed by a decline in income, high home working prices and intense electric vehicle competitors. The headcount reductions embody 100,000 job losses worldwide, eliminating 50,000 positions in Germany by 2030, slicing 19,000 jobs by the top of 2026 and lowering govt salaries by 10%. Meanwhile, 4 plants in Germany have additionally been earmarked for closure, together with Hanover, Zwickau, Emden, and Audi’s Neckarsulm facility.
The restructuring is being led by CEO Oliver Blume and CFO Arno Antlitz. Despite peaking in 2023, Volkswagen has suffered financial decline since, together with reporting its lowest earnings in almost a decade in 2025.
Bosses say they face fierce competitors from the Chinese electric vehicle market which has impacted their earnings in latest occasions. They have pledged to cut back the company’s portfolio to concentrate on the core business.
Financial studies show that Volkswagen employed 667,164 people within the final yr. Of these, 43% have been employed in Germany.
Meanwhile, the company’s UK headquarters relies in Milton Keynes. It at the moment employs over 900 people nationwide in addition to a additional 25,000 who work not directly for the firm.
In a joint assertion, Volkswagen’s works council and the IG Metall union stated: “Should such plans go ahead, we would do everything in our power to prevent them.”
Volkswagen declined to remark and advised Manager Magazin: “The relevant facts of the matter will be discussed and approved by the relevant bodies. We will not pre-empt this process.”
“The Group Executive Board has repeatedly emphasised that our present business model no longer works for all manufacturers in its current kind.”
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