Audi to Reduce Workforce by 7,500 Positions Amid Economic Challenges
The automaker plans significant cost-cutting measures while committing to major investments in its German facilities.
Audi has announced plans to reduce its workforce by approximately 14% as part of a strategy to enhance efficiency and agility within the company.
The reduction will affect about 7,500 jobs, but will not impact factory workers, according to company statements.
This initiative is part of a broader plan to invest around €8 billion in its German operations over the coming years.
Gernot Dollner, Audi's Chief Executive Officer, stated that the company needs to become faster and more adaptable to remain competitive in an evolving market.
The current situation reflects the automotive industry's challenges, with Audi's vehicle deliveries falling by 12% in 2025, exacerbated by declining market conditions in key regions including China.
To mitigate costs, and after reaching agreements with labor unions, Volkswagen's CEO, Oliver Blume, advocated for personnel and capacity reductions across the group.
Earlier reports suggested positions could be cut even higher, but the official announcement indicates a focus on a socially responsible approach to job losses.
As part of these measures, job security for remaining employees at Audi’s Ingolstadt and Neckarsulm facilities has been extended until the end of 2033. This aims to assure workers amid fears of more severe job cuts initially contemplated.
The economic pressures confronting Audi have been significant, with declining sales that outpaced those of competitors like Mercedes-Benz and BMW.
The company is set to present its financial results for 2024, with analysts forecasting a considerable drop in both sales and profit.
In conjunction with job reductions, Audi's commitment to investing in its future aims to stabilize and revitalize its production capabilities, including plans to manufacture the next generation of the Q3 model in partnership with its site in Győr, Hungary.
The reduction will affect about 7,500 jobs, but will not impact factory workers, according to company statements.
This initiative is part of a broader plan to invest around €8 billion in its German operations over the coming years.
Gernot Dollner, Audi's Chief Executive Officer, stated that the company needs to become faster and more adaptable to remain competitive in an evolving market.
The current situation reflects the automotive industry's challenges, with Audi's vehicle deliveries falling by 12% in 2025, exacerbated by declining market conditions in key regions including China.
To mitigate costs, and after reaching agreements with labor unions, Volkswagen's CEO, Oliver Blume, advocated for personnel and capacity reductions across the group.
Earlier reports suggested positions could be cut even higher, but the official announcement indicates a focus on a socially responsible approach to job losses.
As part of these measures, job security for remaining employees at Audi’s Ingolstadt and Neckarsulm facilities has been extended until the end of 2033. This aims to assure workers amid fears of more severe job cuts initially contemplated.
The economic pressures confronting Audi have been significant, with declining sales that outpaced those of competitors like Mercedes-Benz and BMW.
The company is set to present its financial results for 2024, with analysts forecasting a considerable drop in both sales and profit.
In conjunction with job reductions, Audi's commitment to investing in its future aims to stabilize and revitalize its production capabilities, including plans to manufacture the next generation of the Q3 model in partnership with its site in Győr, Hungary.
AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
