In brief
Volkswagen’s board has green‑lit a further 50,000 job reduction, raising the group’s planned 2030 workforce shrinkage to 100,000 positions. The move follows an earlier announcement of 50,000 cuts in March and underscores the automaker’s effort to trim complexity and focus on “most compelling vehicles”. The company will also review the viability of four German plants, while resetting its model portfolio to a 50% cut by 2035 and simplifying offerings by 75%. Shares rose about 7% in Frankfurt after the announcement. Industry observers see this as a sign of the broader crisis facing Western automakers against rising Chinese competition.
Volkswagen’s board has approved a plan to cut another 50,000 jobs, bringing the total number of roles the carmaker plans to eliminate by 2030 to 100,000.
After announcing in March that it would cut 50,000 roles, the group – which includes Audi, Porsche, Skoda, Seat, Bentley and Lamborghini – is also reviewing the future of four of its German plants.
Chief executive Oliver Blume said the move is a “strong signal” of the company’s commitment to taking responsibility for its entire workforce. He added that “a fundamental adjustment of the global workforce capability is necessary to safeguard the competitiveness” of the company as demand and technology shift.
Blume noted that a group‑wide workforce adjustment of about 50,000 positions, including management roles, will be required. The firm also intends to cut the number of models it produces by 50% and simplify its offering by 75% by 2035, prioritising the most compelling vehicles and building more of each model to lower costs.
As of 2025, Volkswagen employed more than 660,000 people worldwide. The company is weighing options for operations in Emden, Zwickau, Hanover and Neckarsulm, where production capacity exceeds demand, and assessing alternative uses for those plants.
Volkswagen’s profits have fallen sharply in recent years, hit by falling sales in China, the United States and other markets, and by competition from Chinese automakers that are pushing advanced technologies at lower production costs.
Shares in the company were up about 7% in Frankfurt on Friday morning after the board’s announcement.
