Volkswagen Approves Major Restructuring Plan to Cut 100,000 Jobs by 2030

Volkswagen has approved a restructuring plan under the "Plan d'avenir 2030" to eliminate 100,000 jobs by the end of the decade, representing about 15% of its global workforce.

Key points

• The total reduction includes an additional 50,000 positions alongside 50,000 previously agreed redundancies.
• The multi-brand group aims to increase its operating margin to 9% by 2030 and plans a 135-billion-euro investment in research and development between 2027 and 2031.
• Four major German plants face long-term uncertainty as the company addresses overcapacity and competitive pressures from US tariffs and Chinese markets.
• Management and employee representatives reached a compromise that avoids immediate factory closures while aiming to simplify governance and product portfolios.

Why it matters

As the biggest restructuring in the global car industry, Volkswagen's job cuts and strategic pivot reflect the severe pressures European automakers face from shifting global demand and intense international competition.