Volkswagen plans massive restructuring

German car giant Volkswagen is set to axe another 50,000 jobs as part of the biggest restructuring in the group’s almost nine-decade history

Volkswagen CEO Oliver Blume

JOB CUTS
Volkswagen (VW) to cut 50,000 more jobs, bringing total planned reductions to some 100,000 by 2030

VW GLOBAL WORKFORCE (2025)
628,893
Around 8% of workforce cut

PLANT RESTRUCTURING
Vehicle production uncertain at four German plants from 2031-2034, amid 500,000+ vehicles of excess European capacity

GERMANY

Plants affected
Employees 
(2025)

Emden
+7,700

Neckarsulm
15,509

Zwickau
8,000

Hanover
~14,000

PRODUCT OVERHAUL
Number of models to be cut by 50% by 2035, with offering complexity reduced by 75%, focusing on higher-volume models

EFFICIENCY
VW aims to sell 9 million vehicles per year by 2030 and reach 9% operating margin, up from 3.8% in first half of 2026

VW OPERATING MARGIN

Q2 2026:
4.2%
Q1 2023: 7.5%
Q3 2025: -1.6%
0
2
4
6
8
Q1
Q3
Q1
Q3
Q1
Q3
Q1
2023
2024
2025
2026

REGIONAL STRATEGY
Focus on profitable markets in North America, lower growth expectations in China and boost exports to Global South

INVESTMENT
VW plans €135 billion in capital spending and R&D investment in 2027-31 – around 16% less than €160 billion planned last year

VOLKSWAGEN GROUP BRANDS
Volkswagen
Audi
Porsche
Škoda
SEAT
CUPRA
Bentley
Lamborghini

Sources: Reuters, Bloomberg, Volkswagen
Picture: Newscom
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