Volkswagen And The Union Decide To Eliminate 20,000 Jobs.

Europe’s largest car manufacturer, Volkswagen (VW), is continuing with its job-cutting plans. “Around 20,000 departures from the company by 2030 have already been agreed,” said head of human resources Gunnar Kilian.

This has already solved more than half of the 35,000 job cuts by 2030.

In December, the company and the union, after lengthy negotiations, agreed on a restructuring program for the main VW brand. By 2030, almost a quarter of the 130,000 jobs in Germany are set to be eliminated.

Terminations for business reasons are not counted, and the reduction will mainly take place through early retirement and severance pay. “The first measures of the ‘Volkswagen Future’ agreement are in place and we are on the right track,” said Kilian.

“With measurable progress in plant costs in Wolfsburg and socially acceptable layoffs at just six locations in Germany, we are accelerating our transformation.”

However, they have not yet achieved their goal on the savings path, added CFO David Powells. “We still have a lot of work ahead of us,” Powells said. The goal is to position VW as competitive and sustainable for the future by 2029.

• Also See: “Shareholders Of Volkswagen Demand Significant Changes To Top Management.”