Volkswagen layoff plan

It was reported that the German car manufacturer Volkswagen could reduce the employment of administrative staff as part of cost-saving and reduction measures until 2026 worth 10 billion euros.

In the news from the German business newspaper Handelsblatt, based on the internal VW podcast between Thomas Schaefer, Volkswagen brand manager, and the director of human resources, it is stated that the Volkswagen Group plans to reduce personnel costs by 1 in 5 to 2026.

The news states that Volkswagen employs approximately 40,000 administrative staff, including brand and Volkswagen Group personnel, and that negotiations continue with the works council to save billions of euros.

The news recalled that the negotiations in question began in October 2023 and stated that negotiations in the Volkswagen Group on the performance program for the main Volkswagen brand could extend until next year.

Volkswagen announced a program in June 2023 to increase profitability.

The Volkswagen Group employs approximately 676 thousand people with 115 production facilities in 19 European countries and 10 countries in the Americas, Asia and Africa.

NEGATIVELY AFFECTED BY COMPETITION FROM CHINA AND THE USA.

On the other hand, representatives of the automobile industry say that German automotive companies, which have recently undergone a profound technological transformation, have been harmed by restrictions on greenhouse gas emissions and competition from China and the United States.

Diesel vehicle emissions fraud by German car companies dealt a severe blow to diesel vehicle sales and deeply shook confidence in German companies.

Furthermore, the fact that in recent years the pioneering technologies in the automobile industry have come from China and the USA is still a matter of debate among German public opinion. (BRITISH AUTOMOBILE CLUB)