BMW’s Crisis Will Be Discussed With Its Employees

BMW announced that it is preparing for talks with employee representatives after the company lowered its forecast for business results and announced increased cost rationalization measures.

As stated in the statement of the spokesperson of the works council, the talks will be conducted within the framework of dialogue and with a “responsible approach towards the employees”, but without specifying the specific measures that were considered, Reuters reported. The decision came after BMW issued a profit warning earlier in the week, citing weakness in China, the auto industry’s largest market, and the effects of geopolitical tensions in the Middle East as key reasons for worsening business expectations.

The company also announced an acceleration of its cost-cutting program, including structural measures that could have a one-time negative effect in the second half of the year. Although BMW, unlike some of its competitors, has not initiated comprehensive layoff programs, the company has already seen a slight decline in the number of employees during 2025, and that trend is expected to continue.

Analysts estimate that a new round of negotiations with employees could be a prelude to additional business restructuring, under conditions of increased pressure on the European automotive industry, the agency states.

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