Volkswagen to Cut 100,000 Jobs Worldwide by 2030

Volkswagen is preparing to eliminate 100,000 jobs worldwide by 2030, making the plan the largest restructuring in the company’s 89-year history. The group had previously announced 50,000 job cuts, and its supervisory board approved another reduction of the same size on Thursday.

The company is responding to pressure from high tariffs, excess production capacity and competition from Chinese manufacturers. Volkswagen has faced financial difficulties, while details of possible cuts emerged over several months.

The restructuring would also halve the number of vehicle models made by the Volkswagen Group. Its brands include Volkswagen, Škoda, Seat, Cupra and Audi. German business publication Wirtschaftswoche reported on Thursday that the group was considering ending the Seat brand in 2029.

The Guardian reported that four production facilities in Germany could close over the next eight years. Volkswagen said the agreement would simplify the group’s complex structure and limit the supervisory board’s influence over key decisions.

The agreement followed weeks of tense negotiations between Volkswagen management and its largest shareholder, Porsche SE, on one side, and trade unions and the state of Lower Saxony on the other.