Volkswagen approves plan to cut 100,000 jobs, flags 4 German plants

Volkswagen announced on September 3, 2026, that its supervisory board has unanimously approved a sweeping restructuring plan that will cut an additional 50,000 jobs worldwide, bringing the total planned workforce reduction to approximately 100,000. The plan, dubbed "Future Plan 2030," also casts uncertainty over four major German plants and calls for a significant simplification of the automaker's product lineup. The approval marks the largest restructuring in the global automotive industry, affecting about 15% of the Volkswagen Group's 650,000 employees worldwide. The new cuts are on top of approximately 50,000 reductions already planned across brands like Audi, Porsche, and software unit Cariad. CEO Oliver Blume stated that the supervisory board's unanimous approval is "a strong signal for the future of the Volkswagen Group." The company cited intense global competition, particularly from China, shifting demand patterns, and the costly transition to electric vehicles as key drivers for the overhaul. Volkswagen acknowledged that its European factories currently have excess production capacity of more than 500,000 units annually.