ZF puts Antriebsparte on a diet - No sale - ZF Friedrichshafen's 'Division E' to Cut 14,000 Jobs by 2028 in Restructuring Push
ZF Friedrichshafen, a German automotive supplier, has announced significant changes to its powertrain division, 'Division E'. The company aims to restore competitiveness and has agreed on cost-cutting measures with employees, expected to save over 500 million euros by 2027.
The restructuring plan includes a reduction in weekly working hours for employees in 'Division E', averaging around 7 percent until the end of 2027. This will result in lower wages. Around 7,600 jobs in the division are expected to be cut by 2030, contributing to a total of up to 14,000 job cuts communicated by the end of 2028. The previously planned wage increase for April 2026 has been postponed.
New CEO Mathias Miedreich has stated that the restructuring involves tough cuts for employees. Despite these changes, ZF has confirmed that it will not spin off 'Division E'. Instead, the company aims to restore competitiveness through an internal overhaul.
ZF Friedrichshafen's restructuring of 'Division E' involves significant employee cuts and reduced working hours, with savings expected to exceed 500 million euros by 2027. Despite the challenges, the company is committed to maintaining the division and improving its competitiveness through internal changes.
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