Volkswagen Slashing 35,000 Jobs by 2030: Here's the Scoop
Many employees of Volkswagen opt for part-time work arrangements
Gear up for some serious changes at the iconic automaker, Volkswagen. The company aims to stay competitive by shedding around 35,000 jobs over the next decade, with approximately 20,000 employees already on board for job cuts. This transformative journey, as Volkswagen calls it, is going full speed ahead.
Catching the early retirement wave are two-thirds of the agreed-upon job cuts, according to reports. Employees who are ready to hit the road can also opt for severance packages or retire early, confirmed a company spokesperson. The amount of severance, reaching up to an impressive 400,000 euros (yes, you read that right!), is determined by the length of service with Volkswagen.
The company is feeling pretty confident about meeting its target. The next phase involves targeting the big birth cohorts of 1969 and 1970, with plans to let more than a quarter of the 130,000 jobs go.
In the face of financial storms, Volkswagen and employee representatives have reached a comprehensive savings program agreement, avoiding plant closures and immediate job cuts, at least for the time being. This agreement, known as 'Future Volkswagen', is showing signs of progress, with noticeable cost reductions in the Wolfsburg factory, and socially agreed job cuts at Volkswagen's six German sites.
While Volkswagen is making progress, there's still a lot of work to be done, especially in the financial department. The ultimate goal is to make Volkswagen a sustainable and competitive powerhouse by 2029.
The gritty details of the savings program and severance packages are mostly grist for the corporate mill, so you might want to keep an eye on official Volkswagen announcements or news releases for more information.
Sources: ntv.de, chl/dpa
- Volkswagen
- Job Cuts
- Savings Program
- Early Retirement
[1] Volkswagen ID.4 and Jetta Memorial Day savings:
[1] In order to align with their community policy and maintain competitiveness, Volkswagen is implementing a savings program that includes vocational training for affected employees, potentially transitioning them into new roles within the company's business operations.
[2] As part of the comprehensive savings program agreement, Volkswagen is offering generous finance packages for employees choosing early retirement, which could serve as a vital funding source for vocational training initiatives.
