Volkswagen to cut 100,000 jobs as part of cost-cutting drive: Report
LIDAR system of a VW ID (for autonomous driving). The BUZZ electric minivan is installed at a media day at the Volkswagen AG commercial vehicle plant in Hannover, Germany, on Wednesday, March 4, 2026.
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automobile giant volkswagen It plans to cut 100,000 jobs and end production at four German factories in the coming years, according to a report. report A move from Manager Magazin that will represent the most radical revision in the company’s 89-year history.
The plan, announced Friday, sees Europe’s largest automaker lay off about 15% of its workforce in a bid to counter growing competition from Chinese car brands.
It also appears that the Wolfsburg-based company will reduce its planned investment in the company by about 15 percent over the next five years, to just over 130 billion euros ($148.2 billion), and will stop production at Audi’s Neckarsulm plant as well as factories in Hannover, Zwickau and Emden.
Volkswagen has already laid out plans for extensive layoffs and launched a major product offensive aimed at improving profitability.
But figures cited by Manager Magazin show that planned redundancies have accelerated sharply, with around 50,000 jobs expected to be cut companywide by 2030 in Germany.
Volkswagen reached an agreement with unions in late 2024 to prevent factory closures in Germany and eliminate compulsory layoffs by the end of 2030.
A spokesperson for the company declined to comment on “internal, confidential documents” when contacted by CNBC, saying decisions would be made and approved by the relevant governing bodies, according to Google’s translation.
“The entire Group, including its brands and subsidiaries, needs to undergo profound change,” the spokesman said.
Volkswagen shares were last traded down 0.2% on Friday. The stock price is down more than 25% year to date.
Volkswagen has been splitting its shares since the beginning of the year.
Volkswagen’s General Works Council and German industrial union IG Metall have vowed to push back against reported layoffs and factory closures.
“If such plans were to be put forward, we would block them with all our might,” they said in a joint statement, according to a translation. they said.
Volkswagen had a workforce of approximately 657,400 employees at the end of the first quarter of 2026. based on to the company.
