Volkswagen has approved plans to cut an additional 50,000 jobs as part of a sweeping restructuring programme aimed at restoring the German carmaker’s competitiveness.
The latest reduction brings the total number of positions Volkswagen plans to eliminate by 2030 to 100,000.
The group, which includes Audi, Porsche, Skoda and the Volkswagen brand, announced in March that it would cut 50,000 jobs by the end of the decade. Chief Executive Officer Oliver Blume said the additional reductions represented a commitment to securing the company’s future.
The move is a “strong signal” for the future of the firm, which is “taking responsibility for our entire workforce”, VW’s chief executive Oliver Blume said in a statement on Thursday.
Blume had indicated in July that the company was considering further job cuts as it struggles with falling profits, declining sales and intensifying competition, particularly from Chinese carmakers.
Volkswagen also plans to reduce the number of models it produces by 50% by 2035 while cutting the complexity of its product range by 75%.
The company said it would prioritise the “most compelling vehicles” and increase production volumes for individual models as part of efforts to lower costs.
“A fundamental adjustment of the global workforce capability is necessary” to safeguard the competitiveness of the company amid shifting consumer demand and rapid technological change, Volkswagen said.
The company added that “a Group-wide workforce adjustment of approximately 50,000 positions – including management roles – will be necessary.”
Volkswagen is also reviewing the future of its Emden, Zwickau, Hanover and Neckarsulm plants, where production capacity currently exceeds demand.
“Alternative uses for these plants are being assessed,” the company said.
The restructuring is the biggest in Volkswagen’s nearly nine-decade history and comes as the carmaker faces mounting pressure in key global markets.
Volkswagen employed more than 660,000 people worldwide in 2025. Its portfolio also includes brands such as Seat, Bentley and Lamborghini.
Christianne Benner, president of Europe’s largest industrial union IG Metall and deputy chair of Volkswagen’s Supervisory Board, said the carmaker had “fought hard for good solutions” to address what she described as a “crisis situation”.
Volkswagen’s profits have fallen sharply in recent years, with declining sales in China weighing heavily on the company. China was previously one of its largest and most important markets.
Sales have also declined in the United States, partly due to the impact of tariffs on car imports introduced by President Donald Trump’s administration.
At the same time, Chinese carmakers have expanded aggressively into international markets, leveraging new technologies and lower production costs to compete with established manufacturers.
Companies such as BYD have recorded significant sales growth in markets including the United Kingdom, the European Union and Southeast Asia.
