Next bad news

VW subsidiary Porsche plans to cut 1900 jobs!

Porsche wants to cut 1900 jobs. However, compulsory redundancies are ruled out until 2030.(Bild: APA/dpa/Sebastian Gollnow)

The next piece of bad news in the automotive industry: sports car manufacturer Porsche plans to cut around 1900 jobs over the next few years.

As the VW subsidiary announced on Thursday, the main plant in Stuttgart-Zuffenhausen and the site in Weissach will be affected. The job cuts are to take place over the next four years. Porsche AG employees will have job security until 2030. There will be no compulsory redundancies until then - the Group must therefore rely on voluntary redundancies. The company employs more than 30,000 people in total.

Cancellation of temporary jobs already decided for 2024
The cuts that have now been announced are in addition to the savings already decided on temporary employment contracts. Their contracts in production have been gradually expiring since 2024. The company announced last year that it would no longer be extending fixed-term contracts.

From 2011 to 2014, Porsche expanded the Leipzig site into a full plant for the production of the Macan.(Bild: APA/dpa-Zentralbild/Jan Woitas)

These are turbulent times for the sports car manufacturer: At the beginning of the month, Porsche surprisingly announced that the company wanted to get rid of Chief Financial Officer Lutz Meschke and Chief Sales Officer Detlev von Platen. Porsche did not give any reasons for the dismissal of the two managers. 

Enormous additional burdens expected for 2025
Porsche is expecting additional costs of up to 800 million euros in 2025 - among other things to develop new cars with combustion engines or plug-in hybrid drives. The car manufacturer once had one of the most ambitious e-car strategies in the industry. By 2030, more than 80 percent of sports and off-road vehicles were to roll off the production line with a fully electric drive.