DistantNews
Support us
🇷🇸 Serbia /Economy & Trade

Volkswagen board approves plan to cut another 50,000 jobs

From N1 Serbia · () Serbian

Translated from Serbian and summarized by DistantNews. Read the original for the full story.

At a glance

News From a news agency Approved/passed
  • Volkswagen’s board approved a cost-cutting plan involving about 50,000 additional job reductions and a 50% cut in the company’s model range.
  • Production at plants in Emden, Zwickau, Hanover and Neckarsulm will be gradually phased out by 2034, with alternative uses to be explored.
  • The company cited Chinese competition and US tariffs as challenges, while reporting a 30% drop in first-half profit after tax.

Volkswagen’s board has approved a sweeping cost-cutting plan that will eliminate about 50,000 jobs, halve the company’s model range and end car production at four German factories.

The plants in Emden, Zwickau, Hanover and Neckarsulm will be gradually phased out by 2034. Volkswagen said it would examine alternative uses for the facilities. The workforce reductions will include management positions.

Including 50,000 cuts agreed earlier, the plan brings the total reduction in Volkswagen’s workforce to 100,000 jobs. The company employs about 650,000 people.

Chief Executive Oliver Blume presented the plan as a response to competition from China and problems linked to US tariffs. The board approved it despite opposition from unions and the regional government, which owns a stake in Volkswagen.

Daniela Cavallo, the company’s chief employee representative, said the plan was “necessary for the company to successfully enter the next decade.” Cavallo had sharply criticized the proposal when it was introduced during the summer. Volkswagen reported a 30% decline in profit after tax in the first half of the year.

Necessary for the company to successfully enter the next decade.

· Daniela CavalloVolkswagen’s chief employee representative described the approved cost-cutting plan.
About this summary

Originally published by N1 Serbia in Serbian. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

More Stories

From Our Blog