Volkswagen board approves cutting 50,000 more jobs and ending production at 4 plants
The overhaul would bring total planned cuts to about 100,000 and gives CEO Oliver Blume broader backing to simplify the carmaker’s lineup.
- On Thursday, Volkswagen AG's supervisory board unanimously approved "Future Plan 2030," authorizing 50,000 additional job cuts, halving its vehicle model range, and launching strategic reviews of four German plants: Emden, Zwickau, Hannover, and Neckarsulm.
- Surging competition from Chinese rivals like BYD and Geely, combined with U.S. tariff expenses of 2.9 billion euros in 2025, forced the automaker to address widespread overcapacity and declining profitability across European operations.
- These new reductions bring total planned job losses to 100,000—roughly 15% of Volkswagen's global workforce—while the group commits 135 billion euros in capital and R&D spending through 2031 to modernize operations.
- Labor leaders, including IG Metall chief Christiane Benner and works council head Daniela Cavallo, backed the plan to avoid escalation, though the company warned it cannot guarantee future production for the four German sites.
- Volkswagen targets a 9% operating margin by 2030 through streamlined management structures and potential alternative uses for the four plants, including defense industry contracts, as the group prioritizes higher-volume model production for competitiveness.
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574 Articles
The Volkswagen Board of Directors has approved an ambitious cost-cutting plan, which aims to reduce 50,000 jobs and the model series by half by 2030, and also aims to reduce the complexity of models by 75 per cent.
Volkswagen Targets 10% Margin by 2030 With €135B Plan, 50,000 Job Cuts
Volkswagen (ETR:VOW3) said its Supervisory Board has unanimously approved the Group Target Picture 2030, a broad transformation plan aimed at improving profitability, reducing complexity and reshaping its production, technology and organizational footprint. Chief Executive Officer Oliver Blume said
Volkswagen's Historic Overhaul: 100,000 Job Cuts and a Shrinking Empire
Volkswagen's supervisory board approved 50,000 additional job cuts, bringing total planned reductions to 100,000 by 2030. The unanimous deal with unions and Lower Saxony also halves the model lineup by 2035 while exploring futures for four German plants. It marks the automaker's biggest restructuring ever amid Chinese competition and weak results.
In the context of the largest restructuring ever undertaken in the sector, the car manufacturer Volkswagen will abolish an additional 50,000 jobs, bringing the total number of job losses to 100,000 within four years.
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