Volkswagen plans massive global job cuts and halves model lineup

Volkswagen AG announced a sweeping cost‑saving programme that will see up to 100,000 positions eliminated worldwide and the closure of four German plants by 2030. The plan includes halving the group’s model range – including several electric models – while launching twenty new models next year. The restructuring, described by executives as the biggest in the company’s 89‑year history, aims to cut €11 billion in expenses and streamline production across its ten brands.

Employees in Germany have been summoned to extraordinary meetings with CEO Oliver Blume to demand answers on the fate of up to 140,000 jobs, roughly one‑fifth of the group’s global workforce. The proposed cuts will affect factories in Hannover, Zwickau, Emden and the Audi plant in Neckarsulm, with similar reductions expected at sites in Spain and elsewhere.

The crisis also highlights Volkswagen’s political clout in Germany, where the state of Lower Saxony holds a 20 % voting block and two government members sit on the supervisory board, giving the state a veto over major decisions such as plant closures.

Amid the turmoil, the Volkswagen Group is also exploring new product directions, including a potential off‑road Audi model (the speculative Q9) intended to compete with the Land Cruiser, Defender and Lexus GX, signalling diversification beyond its traditional passenger‑car focus.