Volkswagen to cut 100,000 jobs by the end of the decade

Volkswagen announced on 4 September 2026 that it will eliminate 100,000 jobs worldwide by the end of the decade, a restructuring described by the company as the largest seen in the global auto industry. Management and unions approved a plan that adds another 50,000 cuts to the 50,000 already agreed.

Scope and local consequences

The group said the total represents roughly 15 percent of Volkswagen’s global workforce. Company leaders framed the move as a necessary adjustment to match staffing with economic realities: "It is essential to systematically align the number of employees with economic reality."

Volkswagen warned that the long-term future of four major German plants — in Hanover, Emden, Zwickau and Neckarsulm — cannot be guaranteed. A longtime worker in Zwickau warned about the regional impact: "If this plant really closes, you can put a big black dot on the map." The factory and its suppliers, the worker said, are "the engine of the whole region."

The company cited several external pressures behind the decision: U.S. tariffs, intense competition from China and sluggish growth in demand for electric vehicles. Volkswagen did not publish a detailed timetable for where and when the job reductions will fall, but said the focus will include North America and that it is looking at expanding exports to countries of the Global South.

As part of the package, Volkswagen plans investments amounting to several hundreds of billions of euros over coming years to boost research and development and become more competitive. The group also intends to carry out a structural reorganisation to streamline decision-making and cut the number of businesses and stakes it holds by about one third.

CEO Oliver Blume said the cuts are intended to send "a strong signal for the future of the Volkswagen Group." He added that the company "will take responsibility for its entire workforce, its partners and industrial jobs around the world."

Photo: јуни 2026)