Bosch announces restructuring of 62,500 employees

Bosch has announced a major corporate restructuring plan involving the transfer of approximately 62,500 employees into four independent subsidiaries starting in August 2027. The reorganization targets the Mobility, Bosch Digital, Global Business Services, and Global Real Estate divisions, which will operate as legally independent GmbHs within the Bosch Group.

The company cited increasing competition from Asia, shifts in the automotive industry, and insufficient profitability as primary drivers for the change. While existing employment contracts are to be maintained, the move comes alongside a previously announced reduction of more than 20,000 jobs in Germany. The new structure is intended to accelerate decision-making and increase entrepreneurial independence, though the legal separation could also facilitate future job cuts, site sales, and cost-reduction measures by limiting the employer's obligation to redeploy staff within the broader group.