Porsche to Cut 5,000 More Jobs by 2035 in Stuttgart Region

Porsche is set to eliminate another 5,000 jobs in the Stuttgart region by 2035, impacting its core operations at the Stuttgart-Zuffenhausen plant and the Weissach development center. This significant workforce reduction is part of a broader strategy to bolster the company's competitiveness and secure its long-term future.

In conjunction with the job cuts, Porsche has extended its site security agreement for five years, ensuring that no dismissals will occur until the end of 2035. The company and its general works council have stated that the job reductions will be managed through socially responsible means, primarily natural attrition, demographic changes, phased retirement, and voluntary severance packages. Negotiations involved the IG Metall union and the Südwestmetall employers' association.

“

It enables us to strategically realign the company. Now we have to deliver together. One thing is clear: only if we achieve our goals and are economically successful can we give our employees the necessary security.

The "future package" accompanying these measures involves a substantial investment of 2.1 billion euros. This funding aims to ensure that two-door sports cars continue to be produced in Zuffenhausen and that development work remains concentrated in Weissach. The package also includes measures to significantly lower personnel costs and enhance the flexibility and productivity of operations. These adjustments involve partial deferral of wage increases until 2035, a reduction in Christmas bonuses, and an employee bonus structure more closely tied to company performance. Management will also forgo base salary increases in 2027 and 2028, and remote work will be limited to eight days per month.

Porsche CEO Michael Leiters described the package as beneficial for strategically realigning the company, emphasizing that economic success is paramount for providing employee security. Works council chairman Ibrahim Aslan acknowledged the compromises made but viewed the package as a hard-won opportunity for investment at the two key sites, stressing the need for joint implementation with the board. This initiative follows a previous cost-saving round in February 2025, which involved the reduction of approximately 1,900 jobs and the expiration of around 2,000 fixed-term contracts.

“

The package is hard-won. Now we have to implement it together with the board.