Volkswagen weighs closing several German plants, putting 40,000 jobs at risk

Volkswagen Chief Executive Oliver Blume is preparing a sweeping overhaul that could end vehicle production at four German factories within the next decade, putting approximately 40,000 jobs at risk while eliminating 50,000 positions company-wide by 2030, according to a report citing supervisory board sources.

Blume intends to shutter the Zwickau and Emden plants within five years, followed by the commercial vehicle factory in Hannover in 2032 and Audi’s facility in Neckarsulm two years later, Der Spiegel reported on Thursday. The proposals, described by analysts as the most radical restructuring in the history of the world’s second-largest automaker, were set for discussion at a supervisory board meeting in Wolfsburg on Thursday.

Labor Response

Germany’s IG Metall union swiftly condemned the plans and announced a day of action, with members gathering for a rally in Wolfsburg during the board session. A supervisory board spokesperson and a labor representative both declined to comment on the specifics when approached by media outlets.

The four sites together employ roughly 40,000 workers, representing a significant portion of the company’s domestic workforce. Blume’s broader cost-cutting agenda aims to reduce headcount by 50,000 globally before the decade’s end, according to the magazine.