German multinational set to cut thousands of positions, reports media
Bosch, the auto parts supplier, has pointed to a decline in electric vehicle demand and stagnant global car sales. Read Full Article at RT.com
TroibNews 
Bosch is set to reduce its global workforce by 5,500 positions over the next few years, driven by sluggish demand in the electric vehicle market, according to Deutsche Welle.
The company's representative noted that approximately 3,800 of these job reductions will take place in Germany. The specific details regarding the layoffs will be determined through negotiations with employee representatives, as stated on Friday.
Bosch plans to eliminate 3,500 roles within its car software division by 2027, with around half of those cuts taking place in Germany. Additionally, the company aims to reduce up to 1,300 jobs in its steering division, located in Schwaebisch Gmuend, between 2027 and 2030.
In a statement, Bosch acknowledged that weak electric vehicle demand has had a “direct impact” on the number of orders it has received from manufacturers.
The company articulated that “the automotive industry is suffering from significant overcapacity,” citing ongoing pressure from competition and pricing.
Bosch manager Stephan Hoelzl stated that the company needs to adjust to the evolving market landscape and implement sustainable cost reductions “to strengthen our competitiveness.”
In an interview with Der Tagesspiegel, chairman Stefan Hartung indicated concerns over declining revenue in the upcoming year, and he did not rule out the possibility of further job cuts in Germany.
In December 2023, Bosch had already announced plans to reduce its workforce by 1,500 positions in its auto supply business.
Frank Sell, leader of the workers’ council for Bosch’s automotive division in Germany, referred to the planned layoffs as a “slap in the face” and pledged to oppose them.
The challenges facing Germany's automotive sector have raised alarms about the strength of the EU's largest manufacturing economy. Recently, Ford declared plans to eliminate 4,000 jobs in Europe due to the downturn in EV demand. Workers at another major German automaker, Volkswagen, are threatening strikes after the company signaled potential plant closures and significant job reductions.
The German Association of the Automotive Industry warned last year that the country is “dramatically losing its international competitiveness” as a result of rising energy costs.
A survey carried out by the VDA auto industry association indicated that the restructuring of Germany's automotive sector could lead to 186,000 job losses by 2035, with approximately a quarter of those already observed.
Aarav Patel for TROIB News
The company's representative noted that approximately 3,800 of these job reductions will take place in Germany. The specific details regarding the layoffs will be determined through negotiations with employee representatives, as stated on Friday.
Bosch plans to eliminate 3,500 roles within its car software division by 2027, with around half of those cuts taking place in Germany. Additionally, the company aims to reduce up to 1,300 jobs in its steering division, located in Schwaebisch Gmuend, between 2027 and 2030.
In a statement, Bosch acknowledged that weak electric vehicle demand has had a “direct impact” on the number of orders it has received from manufacturers.
The company articulated that “the automotive industry is suffering from significant overcapacity,” citing ongoing pressure from competition and pricing.
Bosch manager Stephan Hoelzl stated that the company needs to adjust to the evolving market landscape and implement sustainable cost reductions “to strengthen our competitiveness.”
In an interview with Der Tagesspiegel, chairman Stefan Hartung indicated concerns over declining revenue in the upcoming year, and he did not rule out the possibility of further job cuts in Germany.
In December 2023, Bosch had already announced plans to reduce its workforce by 1,500 positions in its auto supply business.
Frank Sell, leader of the workers’ council for Bosch’s automotive division in Germany, referred to the planned layoffs as a “slap in the face” and pledged to oppose them.
The challenges facing Germany's automotive sector have raised alarms about the strength of the EU's largest manufacturing economy. Recently, Ford declared plans to eliminate 4,000 jobs in Europe due to the downturn in EV demand. Workers at another major German automaker, Volkswagen, are threatening strikes after the company signaled potential plant closures and significant job reductions.
The German Association of the Automotive Industry warned last year that the country is “dramatically losing its international competitiveness” as a result of rising energy costs.
A survey carried out by the VDA auto industry association indicated that the restructuring of Germany's automotive sector could lead to 186,000 job losses by 2035, with approximately a quarter of those already observed.
Aarav Patel for TROIB News
