Porsche Plans to Lay Off Thousands of Employees
German automaker Porsche plans to cut 5,000 to 6,000 jobs by 2035, mainly in administration and management, in response to declining sales in China and falling profits.
Porsche has approved a restructuring plan that could lead to a significant reduction in its workforce. The company's supervisory board has backed management's proposal, but a final agreement with employee representatives and the IG Metall union has not yet been reached.
According to the plan, 5,000 to 6,000 jobs could be eliminated by 2035. Media reports suggest that the total number of cuts could reach 9,000 when including previously announced reductions. The changes will primarily affect administration and management positions, not production workers.
At the same time, the company is considering extending job guarantees at its German plants until 2035. There have also been reports of possible cuts to employee bonuses and Christmas pay, but Porsche has not commented on these reports as negotiations are ongoing.
Porsche's cost-cutting measures are a response to the company's difficult situation, including a significant drop in sales in China, declining profits, and the need to adapt to changing conditions in the automotive market.
