Volkswagen Supervisory Board Approves Plan to Cut 100,000 Jobs by 2030
The Volkswagen supervisory board unanimously approved a major restructuring plan cutting approximately 100,000 jobs globally. This new initiative adds 50,000 positions to the already planned cuts, representing the largest industry shake-up on record.
On Thursday, September 3, the Volkswagen supervisory board voted unanimously to approve a transformation plan targeting approximately 100,000 job reductions by the end of 2030. The new proposal includes an additional 50,000 cuts, bringing the total to double the number previously announced in March. Executive Chairman Oliver Blume confirmed the board's decision, stating that a fundamental adjustment of global workforce capability is necessary due to falling demand and fierce competition from Chinese rivals.
The plan involves reducing the variety of car models produced by roughly 50% and simplifying the vehicle lineup complexity by nearly 75% by 2035. Additionally, management is evaluating alternative uses for four German factories in Emden, Zwickau, Hannover, and Neckarsulm because they currently lack a concrete production plan through 2034. With over 600,000 employees globally, the proposed cuts represent about 15% of the company's total workforce, eclipsing previous restructuring records set by General Motors and Ford in the early 2000s. While unions were present at the board meeting, sources note that management previously faced opposition to similar headcount increases during a tour of the Wolfsburg headquarters last month.
