Volkswagen reportedly considers cutting up to 100,000 jobs

The plans stand in sharp contrast to those of Tesla, which has announced further hiring in Germany several times this year. According to recent media reports, Volkswagen is instead focusing on extensive restructuring measures.

Earlier media reports indicated that Volkswagen was preparing a restructuring programme aimed at achieving around EUR 60 billion in savings. More recently, reports suggested that approximately 28,000 jobs could be cut across the group's global operations.

Those concerns intensified after Volkswagen CEO Oliver Blume publicly expressed worries about the company's future. According to German business magazine Manager Magazin, the automaker is now considering reducing its workforce by as many as 100,000 employees.

The reported layoffs would be carried out over the coming years and could affect around 15% of Volkswagen's global workforce.

According to the report, the restructuring plan also includes the closure of four manufacturing plants in Germany. At the same time, Volkswagen is said to be planning a roughly 15% reduction in capital investment over the next five years.

The restructuring could also involve significant organisational changes. Reports suggest that Volkswagen is evaluating the possibility of separating its core Volkswagen passenger car brand and its automotive components business into independent entities. The group also owns several other automotive brands, including Audi and Porsche.

The reports have prompted a strong reaction from labour representatives. In a joint statement issued on Friday, the trade union IG Metall and Volkswagen's General Works Council said they would oppose any large-scale job cuts.

"If such plans are implemented, we will do everything in our power to prevent them," the organisations said in their joint statement.