Volkswagen board approves plan to cut another 50,000 jobs

The board of the German car manufacturer Volkswagen has recently approved a plan to cut an additional 50,000 jobs as part of their comprehensive turnaround program. This brings the total number of positions Volkswagen plans to reduce by 2030 to 100,000. The company, which includes brands such as Audi, Porsche, Skoda, and VW itself, had previously announced their goal of cutting 50,000 jobs by the end of the decade in March.

In a statement released on Thursday, Volkswagen's CEO Oliver Blume emphasized the significance of this move, stating that it sends a strong signal regarding the future of the company. Blume also reiterated the company's commitment to responsibly addressing the needs of its entire workforce.

Volkswagen's struggles can be attributed to a decline in profits resulting from falling sales and intense competition, particularly from Chinese brands. In July, the company expressed their intent to make further job cuts, and they have since outlined several measures to address these challenges.

Looking ahead, Volkswagen aims to reduce the number of models it produces by 50% by 2035 and decrease the complexity of its vehicle offerings by 75%. By prioritizing the most compelling vehicles and producing each model in greater quantities, the company aims to lower its overall costs. Additionally, Volkswagen recognizes the need for a "fundamental adjustment of the global workforce capability" to maintain its competitiveness in the face of shifting demand and technological change.

To achieve these goals, the company is currently evaluating the future of its Emden, Zwickau, Hanover, and Neckarsulm plants, as production capacity in these facilities exceeds demand. Alternative uses for these plants are being assessed to ensure their continued viability.

As of 2025, Volkswagen employed over 660,000 people worldwide, with its portfolio also encompassing brands such as Seat, Bentley, and Lamborghini. Christianne Benner, president of Europe's largest industrial union IG Metall and deputy chair of VW's Supervisory Board, noted that the carmaker has worked diligently to find suitable solutions to address the current crisis situation.