Volkswagen Slashes 35,000 Jobs: An Unpleasant New Year's Gift for Thousands
Many Volkswagen workers opt for part-time absences from their jobs
Get ready, VW employees! The automotive giant is making significant changes to boost its competitiveness by cutting a whopping 35,000 jobs in Germany by 2030. And guess what? They've already secured the departure of around 20,000 employees, according to Personnel Director Gunnar Kilian [source].
In a bid to streamline their operations, VW has been offering early retirement, age regulations, and severance agreements as part of their comprehensive restructuring plan to lower indirect personnel costs. Whether you choose early retirement or age regulations, there's no additional severance package [source]. Interestingly, about two-thirds of those opting for early retirement are reported by Bild newspaper [source].
The amount of severance depends on how long you've been with the company, with up to 400,000 euros on offer [source]. VW is confident that it can achieve its goal of reducing a total of 35,000 jobs in Germany by 2030. They plan to approach the large birth cohorts of 1969 and 1970 next, with more than a quarter of the 130,000 jobs at risk [source].
Now you might be wondering about VW's current financial status. Before the turn of the year, the company and employee representatives agreed on a comprehensive savings program for the core VW brand, which has so far been successful in averting plant closures and job cuts in Germany [source]. However, they've got a long way to go on this savings course, according to brand finance director David Powels [source].
In case you're eager to grab a new whip, the search results do mention promotions like the Memorial Day Savings for the 2025 Volkswagen Jetta and ID.4, with financing options and factory maintenance packages available. But let's be clear; those offers have nothing to do with employee matters [source].
Sources:- ntv.de- chl/dpa
The community might consider the revised Volkswagen policy, which includes vocational training opportunities, as a proactive move to support the displaced workers. As Volkswagen focuses on streamlining its operations, it may seek partnerships with industries like aerospace and finance for potential vocational training collaborations in the business sector.
