VOLKSWAGEN PLANS TO CUT UP TO 100,000 JOBS GLOBALLY

Volkswagen is considering cutting up to 100,000 jobs and closing some manufacturing plants, according to reports from German media outlets. The proposals would represent a doubling of previously announced staff reductions at the company. A management presentation outlining the cost-cutting measures was discussed at a board meeting, though Volkswagen declined to confirm details of the plan.

Volkswagen employs more than 650,000 people across all its brands, including Audi, Bentley, Skoda, Seat and Cupra. The company has faced significant pressure from Chinese competitors and struggled to transition from combustion engine vehicles to electric cars. According to reports, the proposals include closing four German factories in the medium term: an Audi facility in Neckarsulm and Volkswagen plants in Hanover, Zwickau and Emden. Chief executive Oliver Blume has already announced a strategy aimed at reducing costs by €11bn (£9.49bn).

A Volkswagen spokesperson stated that the supervisory board will discuss the overhaul at a meeting scheduled for next month. The company said its current business model—developing vehicles in Germany, manufacturing them in Europe and exporting globally—no longer functions effectively. The spokesperson cited tariffs, competition from Chinese manufacturers and "stagnating, sometimes declining" markets as creating "burdens on the company reaching tens of billions of euros per year". The proposals could be modified before implementation.