Germany’s car industry has been hit with some major trouble, with thousands of job losses in a matter of months.
Germany’s car industry is under serious threat of job losses (Image: Getty)
Germany’s car market could be in serious trouble, with over 20,000 job losses hitting workers over the past few months. Earlier this Autumn, two of the country’s biggest vehicle manufacturing companies announced job reductions, with thousands set to face the axe.
Now, a third firm has announced a set of redundancies in the run-up to the New Year, in a major blow for one of the leading car manufacturing nations in the world. First, ZF Friedrichshafen confirmed it would cut around a quarter of its electrified powertrain technology unit by the end of the decade.
Over 20,000 manufacturing jobs are set to be cut (Image: Getty)
ZF confirmed that a staggering 7,600 jobs would be axed, with changes introduced for those staying on. This would include shorter working hours and a postponed wage increase to help lower costs.
Job losses include early retirement options and severance packages with the move, hoping to save around £436million (€500 million) by 2027. Next, Bosch revealed that it would cut 13,000 jobs from its mobility division in Germany,
No UK jobs are set to be cut, with losses likely to impact those working at Bosch’s Feuerbach, Schwieberdingen, Waiblingen, Bühl and Homburg bases. The company is known for providing vehicle parts and software with jobs in administration, sales, development and production among those likely to be axed. Bosch hopes the move could help the company to save around £2.06billion (€2.5bn)
Stefan Grosch, member of the Bosch board of management and director of industrial relations, said: “Regrettably, we will not be able to avoid further job cuts beyond those already communicated. This hurts us greatly, but unfortunately, there is no alternative.”
Finally, another major supplier faces bankruptcy with dozens of job losses expected. Diepersdorf Plastic Manufacturing, a major supplier of plastic components to the automotive industry, filed for bankruptcy in the run-up to Christmas.
The company specialises in manufacturing certain car parts such as radiator grilles, mirror covers and steering wheel housings.
However, around 1,000 jobs are understood to be at risk across the company’s three sites in a major blow ahead of the New Year. It is believed the bulk of the losses will be at the main Diepersdorf factory in Bavaria, where around 830 jobs will be cut.
Around 95 employees could be under threat of losing their roles at a plant in Oberlungwitz, Saxony, with 120 employees facing the axe at Lüdenscheid, North Rhine-Westphalia.
