Volkswagen to cut 35,000 jobs by 2030 – RM19 billion saving targeted, Germany output to drop by 734k units

Volkswagen to cut 35,000 jobs by 2030 – RM19 billion saving targeted, Germany output to drop by 734k units

Volkswagen will be cutting 35,000 jobs across its German locations by 2030, with the aim of saving 1.5 billion euros (RM7.03 billion) annually in labour costs through the Zukunft Volkswagen (translated as Future Volkswagen) agreement, the manufacturer has announced. This comes as the manufacturer group concluded the joint agreement with employee representatives.

This will also see the manufacturer reduce its production capacity by 734,000 units across the affected German plants, and along with decrease in development costs, aims to save up more than four billion euros (RM18.75 billion) annually.

For the Volkswagen passenger cars brand, this will see production of the Golf hatchback and estate models moved from the Wolfsburg headquarters to Puebla in Mexico from 2027.

Meanwhile, the ID.3 and Cupra Born will continue to be produced at Wolfsburg, thus reducing the number of assembly lines from four to two, says the manufacturer. The Wolfsburg plant will also produce the Golf EV and another, future EV based on the SSP platform.

The technical development division at Wolfsburg will have 4,000 jobs cut by 2030, while tasks will be transferred to other sites that are part of its technical development network, Volkswagen said. Future technical development work for the Volkswagen passenger cars brand will be the responsibility of the group’s development network, it added.

In terms of its BEV models, the ID.7 sedan, ID.7 Tourer and ID.4 will continue to be manufactured at the Emden plant, even after their facelift updates. The Osnabrück site will produce the T-Roc cabriolet until 2027, though other production sites for this model are being considered.

For Audi, the Zwickau plant will continue to produce the Q4 e-tron and Q4 e-tron Sportback, and vehicle production at this site will be from a single line from 2027, says Volkswagen. Meanwhile, the ‘Transparent Factory’ in Dresden will cease vehicle production at the end of 2025.

Looking to sell your car? Sell it with Carro.

Certified Pre-Owned - 1 Year Warranty

10% discount when you renew your car insurance

Compare prices between different insurer providers and use the promo code 'PAULTAN10' when you make your payment to save the most on your car insurance renewal compared to other competing services.

Car Insurance

Mick Chan

Open roads and closed circuits hold great allure for Mick Chan. Driving heaven to him is exercising a playful chassis on twisty paths; prizes ergonomics and involvement over gadgetry. Spent three years at a motoring newspaper and short stint with a magazine prior to joining this website.

 

Comments

  • Peppa on Dec 23, 2024 at 3:04 pm

    The only one they can blame on is only themselves. Not to consumers, not to ev trend and not even to china. I don’t think reliability and the lack of physical buttons are the cause here. They are the one overpricing their offerings thinking people would pay extra for the badge. Now they reap for what they sow. Same goes with other brands too.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Squid on Dec 24, 2024 at 8:43 am

    Hopefully they go back to making actual good cars after this.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Pro-Palestine on Dec 28, 2024 at 9:11 am

    They make good reliable cars but their dwnfall is due to poor pricing for the specs. Too mahal

    Like or Dislike: Thumb up 0 Thumb down 0
 

Add a comment

required

required