Volkswagen plans to cut 100 thousand jobs
Chief executive officer of the German group Volkswagen Oliver Blume plans to cut up to 100 thousand jobs worldwide over the next few years and stop production at four group plants in Germany, reports the publication Manager Magazin citing sources.
Also, the head of the automaker plans to reduce investments by about 15% over the next five years.
According to sources, Blume and VW chief financial officer Arno Antlitz intend to completely restructure the company. In particular, it is planned that the Volkswagen brand and component manufacturing plants will be separated from the existing group into separate structures.
In the medium term, VW intends to close production facilities in Hanover, Zwickau and Emden, as well as the Audi plant in Neckarsulm. At the same time, production will be stopped after the models produced there are phased out.
VW share quotes are rising by 0.5% during trading on Friday. The automaker's capitalization has fallen by almost 25% since the beginning of the current year (to 39 billion euros), while the DAX stock index has added just over 1%.
