Volkswagen is entering what could become one of the most consequential restructuring battles in automotive history as the company's leadership prepares to present sweeping cost-cutting proposals that reportedly include eliminating up to 100,000 jobs worldwide and shutting several factories in Germany. The plans will be discussed at a supervisory board meeting on Thursday, while workers across the country stage coordinated protests organized by Germany's powerful IG Metall union.
The German automaker is already in the middle of a previously agreed restructuring program that will eliminate 50,000 positions in Germany by 2030, including 35,000 jobs at the core Volkswagen brand. That agreement, reached with labor representatives at the end of 2024, also included a commitment not to close German factories before the end of the decade. However, mounting financial pressure has reportedly forced management to consider significantly deeper cuts.
According to German media reports, CEO Oliver Blume is weighing a plan that would reduce Volkswagen's global workforce by around 100,000 employees, roughly 16% of its 630,000 workers worldwide. The proposal reportedly includes closing three Volkswagen plants in Germany along with an Audi factory. Other reports suggest the board will examine shutting facilities in Hanover, Emden, Zwickau, and Audi's Neckarsulm plant, while cutting an additional 50,000 jobs beyond those already announced.
