Jobs cuts will be made across Volkswagen, CEO Thomas Schäfer has confirmed, after claiming the company is “no longer competitive”, due to its high cost and low output.
The news, reportedly told to managers this morning, comes amidst an extensive €10 billion (£8.6bn) three-year savings programme that Schäfer announced earlier this year while proclaiming “the roof is on fire”.
The manufacturing giant had previously pledged to not carry out dismissals until 2029, but during this morning’s meeting, human resources board member Gunnar Kilian said it would take advantage of the "demographic curve" to reduce staff numbers by offering partial or early retirements, Reuters reports.
"We need to finally be brave and honest enough to throw things overboard that are being duplicated within the company or are simply ballast we don't need for good results," Kilian said.
