Volkswagen plans to cut up to 50,000 jobs worldwide to reduce costs
As early as 2024, the car manufacturer had announced its intention to cut around 50,000 jobs in Germany by 2030, affecting the VW, Audi and Porsche brands
(Il Sole 24 Ore Radiocor) - Volkswagen’s chief executive, Oliver Blume, estimated in an interview that potential job cuts could affect up to 50,000 jobs globally. VW’s overheads are around 20 per cent higher than those of other companies, Blume stated in an internally published interview, viewed by Dow Jones and previewed by Der Spiegel. “As half of overheads stem from staff costs, a theoretical calculation assuming labour costs remain unchanged would result in a figure of around 50,000 jobs worldwide,” said the chief executive. “As soon as decisions are taken, we will provide transparent and comprehensive information,” Blume added.
Back in 2024, the car manufacturer had announced its intention to cut around 50,000 jobs in Germany by 2030, affecting the VW, Audi and Porsche brands as well as the automotive software division Cariad, mainly through partial retirement schemes. “We have already signed 37,000 agreements and, by the end of the year, around 27,000 colleagues will have left the company,” the executive noted. The next step is to reduce overheads to a competitive level.
Red-Sim
