There was a remarkable development at the German car giant Volkswagen. Reuters, Volkswagen will shrink He claimed. Furthermore, the news source stated that he personally received this information from Volkswagen CEO Thomas Schafer. If the allegations are true, the auto industry the balance sheets are starting to change We can say.

According to news from Reuters Thomas Schaferpublished an article that can only be seen on Volkswagen’s own server system. CEO of Volkswagen in this article It is no longer as profitable as it used to be. he was saying. Schafer recalled that a savings program worth 10 billion euros was created for this purpose and stated that this program will lead to austerity policies in many areas, including staff cuts.

As Volkswagen’s costs rise, its profitability declines

COVID-19 and the war that broke out between Russia and Ukraine increased the costs of all brands in the automotive industry. Volkswagen was also affected by this. But especially the transformation of the electric car in combination with this the Chinese They caused chaos because they dominated the market. The fact that consumers can buy electric cars at a much lower price instead of models like Polo or T-ROC has made Volkswagen popular in many countries. to the campaign pushed. All this led to a decline in the company’s profitability.

Thomas Schafer spoke on this subject as follows:

Volkswagen did not consider mass layoffs until 2029

When Volkswagen announced its 10 billion euro savings program, there were no plans for mass layoffs. you didn’t plan on it he said. This decision would be valid until 2029. However, the last point shows that Volkswagen’s decision has changed. However, Volkswagen has no idea how to downsize without upsetting its employees. has provided a solution.

According to information obtained, Volkswagen management held a meeting after the article shared by Thomas Schafer. Gunnar Kilian, responsible for the human resources department, explained during this meeting how Volkswagen will downsize. According to Kilian’s statement, Volkswagen, partial or early retirement will make agreements and dismiss employees.