Volkswagen: Blume announces job cuts affecting a quarter of the workforce, with cuts also affecting management

(Il Sole 24 Ore Radiocor) - Volkswagen, in light of the need to cut corporate costs, is planning significant job cuts, including at management level. According to reports by the German news agency Dpa, citing a speech given by the group’s CEO, Oliver Blume, to employees in Emden, the car manufacturer is assessing the situation and intends to cut a quarter of its workforce. “Every division must play its part. This is a huge undertaking that can only succeed if we tackle it together,” explained Blume. The CEO had already announced in the spring that he was working on a “strategic plan for 2030”, which would significantly tighten cost-saving measures. According to Blume, Volkswagen’s plants must, in fact, “compete with the best European sites, with the aim of ensuring our group’s long-term competitiveness”. And this comparison reveals that labour costs are more than double those at comparable European sites. “This is not an accusation; it is the reality we must face,” the CEO told staff. “Our aim is to create solid prospects for all sites over the next 6–12 months.”

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