Volkswagen approves "historic restructuring": plans to cut 50,000 more jobs, reduce models by 50% before 2035, targets 9% operating profit margin by 2030.
Volkswagen's supervisory board unanimously approved CEO Oliver Blume's comprehensive restructuring plan on Thursday. The plan adds 50,000 new job cuts, bringing the total number of positions eliminated across all Volkswagen Group brands to 100,000, including 50,000 cuts already implemented since 2024. This represents approximately 8% of the company's global workforce at the end of last year. The company plans to reduce its lineup by about half of the models currently on sale by 2035 to decrease product line complexity and lower per-vehicle costs. Volkswagen stated that this restructuring is the company's "largest transformation plan in its history," aiming to increase the group's operating profit margin from 3.8% in the first half of this year to 9% by 2030, in response to high costs, weak demand, and continuous pressure from Chinese competitors. The proposal to spin off the Volkswagen brand and its components business, which was strongly opposed by the union, has been "shelved for now."
Source:华尔街见闻 · Source Link
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