Volkswagen Group CEO Oliver Blume secures unanimous board approval for a restructuring plan involving 100,000 job cuts.

Volkswagen Group CEO Oliver Blume secured unanimous board approval for a restructuring plan that involves cutting a total of 100,000 jobs over the coming years. This plan, which was agreed upon by management, shareholders, and unions, represents the largest restructuring program in global automotive history. In addition to the headcount reductions, the board of supervisors approved a plan to cut an additional 50,000 jobs, bringing the total to 100,000. The carmaker's shares opened up almost 10 percent on Friday, with investors cheering the cost-cutting measures to help the company compete with cheaper Chinese rivals. The long-term future of four German plants in Neckarsulm, Emden, Hannover, and Zwickau is currently unclear. Instead of closing them immediately, the company will seek alternative uses for these sites, which could include sales to other automakers. A leaked document also suggests that the Volkswagen Group may retire the Seat brand in the coming years while allowing the Cupra brand to continue.

Sources

• Yahoo Finance
  Workers reeling after VW cuts open door to factory closures

---

Paywall and unreadable sources

• The New York Times
  Will a Turnaround Plan Revive Volkswagen or Merely Delay Its Demise?
• The Economist
  VW’s surprise job-slashing deal is a big win for its bosses
• WSJ
  Volkswagen’s Peace Deal With Unions Sets Up Fresh Battles to Come
• Reuters
  Fear and compromise: How Volkswagen struck a deal over historic job cuts