04.09.2026 00:20
German automotive giant Volkswagen has reached an agreement with management and unions to lay off 50,000 more employees by 2030. Combined with the previously announced reduction of 50,000, the total reduction in the group's global workforce will reach 100,000.
Europe's largest automaker, Volkswagen, is implementing a comprehensive downsizing plan due to challenging conditions in the automotive sector.
100,000 PEOPLE TO BE LAID OFF BY 2030
While company management and unions have agreed to lay off an additional 50,000 employees by the end of the decade, combined with the previously announced plan, the total number of layoffs will reach 100,000.
Volkswagen stated that the decision is based not only on economic conditions but also on tariffs imposed by the US, fluctuations in demand for electric vehicles, and increasing competition from Chinese manufacturers.
15 PERCENT OF EMPLOYEES WILL BE AFFECTED
The total reduction of 100,000 jobs is considered the most extensive restructuring move ever carried out in the global automotive industry.
This cut corresponds to approximately 15 percent of the Volkswagen Group's total workforce worldwide. The company emphasized that aligning the current workforce with economic conditions is mandatory.
FUTURE OF 4 GERMAN FACTORIES UNCERTAIN
Volkswagen management and unions have also reached an agreement regarding the future of four factories in Hanover, Emden, Zwickau, and Neckarsulm.
It was stated that operations at these facilities cannot be guaranteed until the 2030s. If the factories are closed, Volkswagen will close some of its full-scale production facilities in Germany for the first time.
UNANIMOUS APPROVAL FROM THE SUPERVISORY BOARD
The restructuring plan was unanimously approved by Volkswagen's Supervisory Board, which includes worker and shareholder representatives.
Volkswagen's Chief Executive Officer (CEO), Oliver Blume, evaluated the decision as a significant step for the company's future.
Blume stated, "This is a strong signal for the future of the Volkswagen Group."