Volkswagen approves plan to cut 50,000 more jobs by 2030
Volkswagen’s supervisory board has approved a major restructuring plan that will eliminate about 50,000 additional jobs worldwide by 2030, taking the total number of positions targeted for reduction to roughly 100,000.
The so-called Future Plan 2030, approved in Wolfsburg on Thursday, is the most extensive restructuring in Volkswagen’s 89-year history. The company is responding to intense competition from Chinese automakers, weak demand, excess production capacity in Europe, US tariffs, and the high cost of shifting to electric vehicles.
Volkswagen had already agreed with unions in late 2024 to reduce its workforce by more than 35,000 at its German operations by 2030, with the wider group subsequently targeting about 50,000 reductions. Around 37,000 voluntary agreements have already been signed.
Chief executive Oliver Blume described the new agreement as a “strong signal for the future”. The company aims to raise its operating margin to 9% by 2030, while cutting its model range by about half by 2035 and significantly simplifying its products and operations.
The future of four German plants, Emden, Zwickau, Hanover, and Audi’s Neckarsulm site remains uncertain. Volkswagen says it currently cannot secure competitive follow-up production at the sites between 2031 and 2034, while alternative uses for the plants will be examined.
About half of the additional job reductions are expected to come in Germany. However, compulsory redundancies remain ruled out under the existing employment agreement until 2030.
Volkswagen shares rose sharply today, Friday following the announcement
