Porsche had previously announced 3,900 job cuts, while another 500 positions are being lost through the closure of subsidiaries. The combined cuts represent roughly one fifth of its workforce but will fall disproportionately on its high-cost German operations, where nearly 40% of positions will be eliminated.
German luxury carmaker Porsche will eliminate another 5,000 jobs by 2035, bringing its planned workforce reduction to around 9,400 positions as Germany’s once-dominant automotive industry struggles with soaring costs, collapsing competitiveness and government policies that have deprived manufacturers of affordable energy.
The Volkswagen subsidiary reached an agreement with labor representatives on Monday to eliminate the positions without compulsory redundancies, primarily through natural attrition, partial retirement and voluntary severance programs. Under the deal, however, the remaining employees will accept slower wage growth, smaller bonuses, stricter remote-work limits and changes to break arrangements and production cycles.
Porsche had previously announced 3,900 job cuts, while another 500 positions are being lost through the closure of subsidiaries. The combined cuts represent roughly one fifth of its workforce but will fall disproportionately on its high-cost German operations, where nearly 40% of positions will be eliminated.
