VW Works Council Chairwoman: We're Well-Positioned as a Company - Volkswagen slashes 35,000 jobs and €60B costs in bold restructuring by 2030
Volkswagen is pushing ahead with a major restructuring plan to secure its long-term future. The company aims to cut costs by around €60 billion while reducing 35,000 jobs by 2030. Works council chief Daniela Cavallo insists the automaker remains well prepared despite industry pressures.
Volkswagen's existing strategy focuses on socially responsible job reductions, avoiding forced layoffs. The 2024 agreement guarantees employment protection until 2030, with cuts coming through early retirement and severance deals. Yet by 2025, all German plants missed cost targets, putting Emden and Zwickau under severe strain.
Cavallo dismissed fears of plant closures or faster job cuts. She stressed the need for fair competition with Chinese manufacturers and more stable political frameworks. The company is also investing in future-focused areas while maintaining a strong pipeline of new products.
Despite the challenges, Cavallo expressed confidence in Germany's automotive future. She highlighted the country's skilled workforce, engineering expertise, and deep-rooted industry tradition. Final decisions on the struggling plants have been deferred until December 31, 2026.
Volkswagen's restructuring will reshape the company over the next few years. The €60 billion cost-cutting drive and job reductions aim to strengthen resilience. Meanwhile, Cavallo continues to push for better industrial policies to support the sector's long-term stability.
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