Volkswagen approves plan to cut another 50,000 jobs

Volkswagen bosses have said they will cut around 50,000 jobs as part of a sweeping cost-cutting plan.The German car giant said the move, which comes on top of previously announced cuts, will bring job losses to around 100,000 by 2030.The group’s turnaround plan will also see it sharply reduce its line of car models and end production at four German factories.Volkswagen, which also makes Audi, Porsche and Skoda vehicles, had indicated in July that it would need to make cuts to improve its financial future.The plan comes as the car manufacturer seeks to counter low-cost competition in China and headwinds from US tariffs.Chief executive Oliver Blume said the move is “a strong signal for the future” of the business.Volkswagen said it also plans to reduce its number of models by 50% by 2035 and reduce the complexity of its offerings by 75%.Plants in Emden, Zwickau, Hannover and Neckarsulm will stop auto production by 2034, but it stressed that alternative uses will be considered.The board said the changes would lead to an “adjustment of the employee numbers of around 50,000 positions” including management jobs.Volkswagen said it also plans to reduce its number of models by 50% by 2035 (Alamy/PA)Mr Blume said: “We are taking responsibility for our entire workforce, for our partners and for industrial jobs worldwide.“Over the coming years, we will invest a three-figure billion sum to make our iconic brands even more attractive, stronger and more competitive.”Hans Dieter Pötsch, chairman of the VW supervisory board, said: “With the future plan now approved, the supervisory board and executive board of Volkswagen AG have shown that the company’s transformation is being driven forward with full force.Read More“As the supervisory board, we are convinced that implementation of the future plan will secure the long-term viability and competitiveness of the Volkswagen Group.”