Volkswagon’s luxury brand, Audi has announced it will have to cut a lot of jobs over the next few years, due to the struggles of Germany’s auto industry.
A statement was made on Monday that said it would destroy 7,500 jobs in Germany sites by 2029. Audi said it expected the plan to save up to 1 billion dollars over the term, and it would invest 8 billion dollars over the next five years, to help produce EVs.
by AFP is licensed under CC by 4.0.
Audi said “Economic conditions are becoming increasingly tougher” and these job cuts represent about 8.6% of Audi’s global workforce.
The automaker said that the cuts were partly an attempt to reduce political standpoints. It was also noted that it had significantly reduced the number of committees in recent months and was trying to reduce employee workloads.
Audi’s job cuts add to more than 35,000 by its owner Volkwagon in Germany by the end of the decade. Volkswagon has also warned it needs an overhaul as the company faces growing competition from China’s EV makers and slowing sales.
The Chinese EVs are a huge problem for other competitors in the world due to the cars having very good technology, comfortability, and a nice exterior, all for a very low price. Donald Trump’s threat to apply a 25% tariff on cars imported into America is another blow to Germany’s auto industry.
